Solutions
A report discussing trading speed, the macro infrastructure needed, how high-speed traders manage risk and profitability, and what buy-side investors can do to change this dynamic has been published by TABB Group.
TABB Group founder and research chairman Larry Tabb, who authored the report, explains that how quickly you trade is dependent upon your ability to read, analyse and respond to changes in the market and the order book, but understanding where your order is on the book and how that book is moving is also critical.
Tabb says that to competitively manage speed requires a significant amount of infrastructure
Q&A with Geoff Ruddick (pictured), IMS Fund Services – You mentioned in your last article that ‘Governance is not a game’ – can you expand on what you meant by that statement?
Unfortunately, in the past few years fundamental governance related issues such as capacity (numbers), substance over form (form over substance), and board composition (split boards), have been used as marketing pitches. These are fundamental governance issues yet the sales side of the issue is increasingly the focus of attention.
Could you provide us with your perspective on each of these? Shall we start with capacity?
There certainly has
100 Women in Finance (100WF), formerly 100 Women in Hedge Funds, in association with Prince Harry’s patronage of 100 Women in Finance’s Philanthropic Initiatives, will partner with WellChild in 2017.
WellChild is the national charity working to ensure the best possible care and support for all seriously ill children, young people and their families across the UK.
100WF has a strong track record of supporting charities and has raised more than USD40 million (gross) for philanthropic causes in the areas of women’s and family health, education and mentoring.
The organisation is planning a number of fundraising and awareness
FINCAD, a provider of valuation and risk analytics for multi-asset derivatives and fixed income portfolios, has enhanced its F3 solution with advanced scenario analysis capabilities and a more flexible reporting framework.
The enhancements enable improved portfolio and risk management decisions, helping clients to achieve superior investment returns.
FINCAD F3 gives asset managers, hedge funds, pensions, life insurers and banks more accurate pricing, valuation and risk for pre-trade decision support and post-trade risk management.
F3’s most recent enhancements allow firms to optimise portfolio and risk management with improved scenario analysis. Clients can create and identify complex scenarios that have
Alternative data specialist Eagle Alpha has released a China Auto Insight (CAI) dataset designed for buy-side investment managers through an exclusive partnership with a Chinese financial automotive consultant.
The dataset will enable investment managers to capture unique insights into the Chinese auto sector.
“We are delighted to partner with a local consultant to provide unparalleled insights into China’s auto sector,” says Emmett Kilduff (pictured), founder and CEO of Eagle Alpha. “The CAI dataset will provide investment managers actionable insights on the Chinese auto industry, well in advance of industry participants reporting their results. This supports Eagle Alpha’s objective which is
By Ras Sipko (pictured), Koger USA – For the past four years, alternative fund managers with US investors have been coming to terms with the far-reaching effects of the Foreign Account Tax Compliance Act or FATCA. Some 60-plus countries have signed up to cooperate with the IRS in order to enforce FATCA and this year the compliance burden is set to grow yet again for international fund managers.
On 31 May 2017, fund managers will have to submit their first filing under the OECD Common Reporting Standards initiative, which can best be thought of as global FATCA or ‘GATCA'.
This additional wave
The Cayman Limited Liability Companies Law (`LLC Law') was formerly introduced on 8 July 2016 and is expected to be used for a broad range of structuring situations.
From a US manager's perspective, the Cayman LLC might be seen as an alternative to the Delaware LLC in setting up an investment management or advisory company or a General Partner for a Limited Partnership fund. A Cayman LLC could provide a useful synergy in a structure where Delaware entities are also used given that Cayman LLC Law is based on and uses many elements of the Delaware Limited Liability Company Act.
The US Foreign Account Tax Compliance Act reporting cycle has been running now for two years. As such there is a good level of visibility in terms of how this tax reporting exercise needs to be done and most financial institutions are clear on the definitions used.
But there is now a new tax reporting standard for fund managers to contend with that is global, as opposed to US-centric: The Common Reporting Standard.
Whereas financial institutions previously only had to report the tax status of their US investors, under CRS – of which the US is neither a signatory nor
The Cayman Government is currently proposing legislative changes which would give CIMA additional powers to impose administrative fines on licensed and regulated individuals and entities. The Monetary Authority (Amendment) Bill 2016 seeks to amend the Monetary Authority Law and if passed will enable CIMA to impose a range of penalties from non-discretionary fines of USD5,000 for a minor breach up to USD1 million for a serious breach. CIMA would be able to impose cumulative fines of up to USD20,000 for a single minor breach.
These would include breaches of prescribed provisions of regulatory laws and money laundering regulations as pertaining
As global asset management groups increasingly adopt digital platforms to connect with counterparties and investors in today's knowledge-based economy, the risks of cybersecurity threats are rising. Funds of all shapes and sizes are susceptible to fraud committed internally by employees or external criminal groups – hactivists, terrorist groups – which can have a potentially devastating impact on shareholders, oblivious to the risks. This could lead to investors losing part or all of their investment while ongoing criminal investigations and court procedures play out. As such, the Money Laundering Reporting Officer (MLRO) is becoming a vital role in the operations of
