The UK's Financial Services Authority (FSA) says the low footprint hedge funds have in most capital markets means overall they pose a low systemic risk, but it has warned of a greater influence by the industry in areas such as convertible bonds, as well as commodity and interest rate derivatives.
The regulator paints a generally improved picture for hedge funds two years since the global financial crisis ended, after surveying about 50 regulated managers with $390 billion assets in March.
- People moves: SocGen adds in prime services, Deutsche fills new rates hole, HSBC makes model move, and more
- Credit risk quants are hitting the tech gap
- Princeton tops inaugural Risk.net quant master’s ranking
- Does credit risk need an expected shortfall-style revamp?
- Teach history to avoid mistakes of yesterday’s quants