Thu, Sep 21, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Other Voices: FCA’s PS13/3: Retail investors unwelcome in Unregulated Collective Investment Schemes

Friday, June 14, 2013

This piece was contributed by Oliver Lodge of UK based Owl Regulatory Consulting.

Whatever our hazy recollections of the good old days, there never was a time when regulators were relaxed about the promotion of unregulated collective investment schemes. Twitchy might be the best description; paranoid might be another, but that would not be entirely fair. Damage has been done with CISs and it has usually been through the unregulated version. The industry is not beyond criticism, either for its management of the funds or for the way that they have been promoted. And the same can be said for animals that were not CISs, but looked remarkably like them. So it’s hard to say that this (FCA’s new rules published in PS13/3) is OTT. And even the dying breed that cleaves to caveat emptor will recognise that investors were significantly misled on numerous occasions.

But none of that quite explains the prominence that UCIS hold in the hierarchy of legislation. The banishment of the funds is enshrined in the Financial Services & Markets Act itself. Does that demonstrate high-level, even parliamentary, concern or is it just legal mechanics? Probably a bit of both, noting, of course, that financial promotion is not a regulated activity and is therefore open to the unwashed. But the impact has been striking. Once launched in legislation, the issue flows down into two Statutory Instruments and into the regulator’s Handbook too. A......................

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. Asia - Hedge funds used to love shorting China. Now, not so much, Fledgling China FoFs require careful use: NCSSF, Amac, Japanese banks turn to PE, hedge funds for returns[more]

    Hedge funds used to love shorting China. Now, not so much From Bloomberg.com: A sharp devaluation. A credit crisis. And an economic hard landing. That's what some of the biggest names in the hedge fund industry were predicting for China after the nation's stocks and currency tumbled in 2

  2. Launches - Orchard launches new credit platform, ETN based on hedge fund to launch on the LSE[more]

    Orchard launches new credit platform Orchard Platform has rolled out Deals as a part of its new platform launch. With the addition of Deals to their suite of technology solutions for loan originators and institutional investors, Orchard Platform takes the next step in their evolution. De

  3. Neuberger Berman closes $1.1bn Credit Opportunities Fund[more]

    Neuberger Berman, a private, independent, employee-owned investment manager, announced that NB Private Equity Credit Opportunities Fund LP closed on $1.1 billion of limited partner commitments. The Fund seeks to invest in the secured and unsecured debt of private equity-backed companies, primarily i

  4. Capital Dynamics launches mid-market private credit business[more]

    Capital Dynamics, a global private asset manager, has launched a dedicated Private Credit Asset Management business. Experienced industry executives Jens Ernberg and Thomas Hall have joined Capital Dynamics to co-lead the company's new private credit initiative. They are based in Capital Dynamics' N

  5. ...And Finally - FAN-antic[more]

    From Newsoftheweird.com: Jeffrey Riegel, 56, of Port Republic, New Jersey, left 'em laughing with his obituary's parting shot at the Philadelphia Eagles. In it, Riegel asked that eight Eagles players act as pallbearers, "so the Eagles can let me down one last time." Riegel owned season tickets for 3