Pondering structural change

As asset managers move cash into alternative investments, they need to put in place a risk management infrastructure that can cope with the added demands of those asset classes.

The recent volatility in the equity markets – and general poor performance of those securities – has forced asset managers to look towards alternative investments to generate returns. Yet shifting funds into derivatives, hedge funds, collateralised debt obligations, and other non-traditional investment vehicles isn’t as simple as ringing a broker. Asset managers have to be more concerned now