Tue, Aug 30, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Risk management (2) - regulation imposes requirements regardless of cost and benefit

Wednesday, February 13, 2013

amb
Ed Gouldstone
Benedicte Gravrand, Opalesque Geneva:

In this two-part article, experts in risk management practice or solution discuss the current status quo of risk management within the hedge fund industry. (Part 1 is here.)

In this article, we examine the implications of the ongoing regulatory demands, real time data as a risk management solution, operational risk, and whether more risk management demands will stifle the hedge fund industry or on the contrary, create opportunities.

Regulatory concerns and costs

Giuseppe Ballocchi, a Geneva-based financier and an expert in risk management practice, believes that in light of the regulatory developments, more time and money will be spent on risk management.

"Headcounts have, to my knowledge, gone up dramatically in the last five, six, seven years in terms of risk control and also compliance," he said. "There will be more and more expenditure, and all of that is not necessarily good, because in the end it creates cost. As for every activity, there needs to be a cost benefit analysis, but regulation seems to be imposing requirements regardless of cost and benefit."

Service providers are seeing a growth in the number of clients asking for tools and services for risk and compliance, Ed Gouldston......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Strategies - The 'Holy Grail' hedge fund strategy to handle a black swan the size of World War I, Hedge funds get more pushback on terms as enthusiasm for strategy wanes[more]

    The 'Holy Grail' hedge fund strategy to handle a black swan the size of World War I From IBTImes.co.uk: To illustrate a strategic gap common to today's portfolio managers, George Sokoloff, PhD, founder and CIO at Carmot Capital, proposes an interesting thought experiment – a breakdown of

  2. Institutional investors - Investors set to increase allocation to private debt, With investment income key, Richmond retirement system faces funding challenges[more]

    Investors set to increase allocation to private debt Investors are set to increase their allocation to private debt, with 60% revealing they believe the private debt market will grow over the next 12 months, according to a new study by Elian, a leading funds services provider. 41%

  3. Investing - Hedge funds snap up banks, unload Apple, Some of hedge funds' favorite stocks are finally starting to beat the market, Einhorn's Greenlight shifts positions, Treasury yield climbs to two-month high as Fischer joins hawks, 9 stocks smart investors put their money in last quarter[more]

    Hedge funds snap up banks, unload Apple From Barrons.com: Prominent hedge funds have a newfound love of big banks, and some have a distaste for shares of Apple, regulatory filings released last week show. The filings suggest that the funds have been pivoting their portfolios in recent mon

  4. Chesapeake energy seeks $1 billion loan to refinance debt[more]

    From Bloomberg.com: Chesapeake Energy Corp. is seeking a $1 billion loan as the company battered by cratering fuel prices and credit downgrades takes a step to address its $9 billion debt load. The natural gas producer hired Goldman Sachs Group Inc., Citigroup Inc. and Mitsubishi UFJ Financial Group

  5. Institutions - Nordic pension funds magnify focus on unlisted and direct investing, building up teams[more]

    From IPE.com: As bond yields remain at low or negative levels, pension funds and other institutional investors in the Nordic region are stepping up efforts to find higher returns by adding more unlisted investments to portfolios and are expanding in-house teams in order to do this, according to new