AIFMD warning on ‘informal' risk management

Quantitative approach required in addition to leverage calculations and Annex IV


How does the alternative investment fund managers directive (AIFMD) fit in the overall framework of investment risk regulation for hedge fund managers?AIFMD is a significant expansion in the overall risk framework for hedge funds. However, it is more than just another step in the ongoing uptrend in risk regulation. AIFMD is transformational in its scope. For example, it goes well beyond the requirements of the US Securities and Exchange Commission’s Form PF. While Form PF is purely quan