X

IOSCO Assesses Risks within Global Investment Funds Industry

In an Investment Funds Statistics Report, IOSCO assessed the risks within the global investment funds industry.

IOSCO reported that leverage across the global investment funds industry is relatively low. IOSCO found that:

  • hedge funds have sufficient portfolio liquidity to meet liquidity demands by investors during normal times;

  • open-ended funds ("OEFs") do not have large aggregate exposures through derivative positions, so they are not meaningfully leveraged by any metric; and

  • using the metrics in the report, closed-ended funds ("CEFs") exhibit little to no leverage.

The report includes analyses of hedge funds, OEFs and CEFs. The report's purpose was to facilitate the regular collection and analysis of investment fund data that would enable regulators to share information and observe trends regarding trading activities, leverage, liquidity management, markets and funding by investment funds globally.

Primary Sources

  1. IOSCO Media Release: IOSCO Report Provides New Global-Level Data on Global Investment Funds Industry
  2. IOSCO Investment Funds Statistics Report

Tags

Regulated Activities
Capital Liquidity Requirements
Sub-Activity
Systemic Risk
Regulated Entities
Investment Funds (SEC Exempt)
Body of Law
Securities Law
Jurisdiction
Global
Organization
Regulators' Associations
Sub-Author
IOSCO