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Troubled funds risk losing top traders or analysts to rivals, or worse, closing down altogether.
On Tuesday, Mr. Steel's office will bless the release of two reports that examine the issues of hedge funds, risk and investor protection.
At its best, it funds risk taking or unfashionable projects; at its worst it promotes the whims and values of the super-rich.
In two hearings held by his committee last year, he called for lower management fees, clearer disclosure of the funds' risk management strategy and greater regulation.
But on current trends, hedge funds' second trillion dollars of assets will arrive even faster than the first.* "Hedge funds: Risk and Return".
But the asset-management industry is sure to feel the effects of any effort by its most respected and, by many, most feared member to diversify its portfolio of offerings into equities, exchange-traded funds, risk hedging, valuation services and more.PIMCO has emerged from the financial crisis stronger.
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The irony is that the new regulations will make the banks more secure and thus less of funding risk, which will in turn reduce their funding costs.
TO Duncan W. Richardson and Jacob Rees-Mogg, co-managers of the $322 million Eaton Vance Information Age fund, risk is clearly not a measure of financial virility.
The sector must answer questions such as: at what point does intense competition among NGOs for commercial or government funding risk compromising key values and agendas?
In response, the Labor Department declared recently that trustees of a pension fund risk violating their fiduciary duties when they try to "further legislative, regulatory or public policy issues through the proxy process".
The Net Stable Funding Ratio (NSFR) is a new Basel III liquidity requirement designed to limit funding risk arising from maturity mismatches between bank assets and liabilities.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com