NEW YORK – A new draft exposure from five major trade associations outlines principles for the reform of the distribution of structured products to investors. The Joint Associations Committee (JAC) paper, entitled Structured products: principles for managing distributor-individual investor relationship, is a non-binding set of global principles building on a previous paper released in July 2007.
The new JAC paper – constructed jointly by the European Securitisation Forum, International Capital Market Association, London Investment Banking Association, the International Swaps and Derivatives Association, and the Securities Industry and Financial Markets Association – is a response to industry scrutiny of the structured products market.
Timothy Hailes, managing director and associate general counsel at JP Morgan and chairman of the JAC working group, said: “These global principles reflect collective industry expectations of integrity, professionalism and ethical conduct in the retail structured products market. The Principles provide common sense guidance on how firms can continue to enhance services targeted toward a growing number of individual investors.”
The week in Risk.net, February 10-16 2017Receive this by email