The US-based hedge fund industry body, the Managed Funds Association, has submitted responses to the best practices reports released in April by the asset managers’ and investors’ committe
The US-based hedge fund industry body, the Managed Funds Association, has submitted responses to the best practices reports released in April by the asset managers’ and investors’ committees appointed by the US President’s Working Group on Financial Markets, setting out guidance for establishing best practice standards for the hedge fund industry and its investors.
‘The MFA has reviewed thoroughly the Asset Managers’ Committee Report and the Investors’ Committee Report, and we are broadly supportive of both sets of recommendations, which are comprehensive and substantive,’ says the association’s president and chief executive Richard H. Baker.
‘Our letters note the significant similarities between the reports and MFA’s Sound Practices for Hedge Fund Managers, asks for clarification on certain recommendations and makes suggestions for the committees to consider as they finalise their reports. We are currently in the process of revising Sound Practices to incorporate the recommendations in the PWG reports, and we are in full support of the group’s ongoing efforts.’
Andrew Baker, deputy chief executive of the Alternative Investment Management Association, adds: ‘We fully endorse the responses submitted by MFA to both committees; the principles identified are consistent with Aima’s sound practices and are therefore applicable to our members.
‘AIMA is fully supportive of the PWG’s advocacy of sound business practices for financial market participants, including investors. We are committed to the international harmonisation of sound practices for the alternative investment industry and look forward to leading this global approach with MFA as well as with all other industry stakeholders.’
The two hedge fund industry bodies jointly welcomed the President’s Working Group reports on their release in April as an important contribution toward the international harmonisation of sound business practices and the highest standards of conduct for the alternative investment industry and investors worldwide. The groups say they are committed to participating in the development of a principles-based approach to the regulatory framework for the financial services industry worldwide.
The Managed Funds Association, whose members include professionals in the management of hedge funds, funds of funds and managed futures funds, was established in 1991 and acts as a source of information for policymakers and the media as well as an advocate for sound business practices and industry growth. The MFA is headquartered in Washington, DC, with an office in New York.