BlackRock is one of a number of asset managers and hedge funds said to be opposed to the SEC’s proposed reform of US securities lending laws, according to a report in The Financial Times.
BlackRock is one of number of asset managers and hedge funds said to be opposed to the SEC’s proposed reform of US securities lending laws, according to a report in The Financial Times.
The report quotes Jennifer Han, Head of regulatory Affairs at the Managed Funds Association – a trade bod for the hedge funds industry – as calling the SEC proposals for drastic changes in reporting and disclosure standards as ‘misguided’.
The MFA’s concern is that the proposed changes, which would introduce detailed reporting of securities lending transactions, would allow other market participants to reverse-engineer or reconstruct hedge fund short-selling trading strategies.
London-based trade body, the Alternative Investment Management Association (AIMA), is also said to have raised similar concerns.
