Liquidity Risk Management for Hedge Funds
07 October 2010 Concord
Image: Shutterstock
A new report from Finadium evaluates the technology, regulations and investment concerns that are driving the adoption of liquidity risk management tools by asset managers, hedge funds and pension plans.
Liquidity risk management is evolving quickly, and capturing in its path not only banks and insurance companies, but also asset managers, hedge funds and pension plans. As a group, asset holders are just now beginning to incorporate liquidity risk management techniques into their regulatory and internal reporting. They have also begun to recognize the value that liquidity metrics add to their portfolio management, sales and client relationship management activities.
For custodians, prime brokers and technology vendors, liquidity risk management on the client side represents a broad market opportunity, and one where segmented needs by client type and legal jurisdiction will support the growth of new products and services.
Other highlights from this report include:
Liquidity management is currently migrating from an optional service into a mandatory one, driven by regulations and investor concerns.
Banks and insurance companies have the most experience with managing their liquidity; these firms have a unique opportunity to deploy that expertise for their clients' benefit.
This report has identified three new liquidity risk management products targeted specifically for asset holders, each one meeting a distinct need in the marketplace.
For more information, please contact us at info@finadium.com or visit the Finadium website at www.finadium.com.
Liquidity risk management is evolving quickly, and capturing in its path not only banks and insurance companies, but also asset managers, hedge funds and pension plans. As a group, asset holders are just now beginning to incorporate liquidity risk management techniques into their regulatory and internal reporting. They have also begun to recognize the value that liquidity metrics add to their portfolio management, sales and client relationship management activities.
For custodians, prime brokers and technology vendors, liquidity risk management on the client side represents a broad market opportunity, and one where segmented needs by client type and legal jurisdiction will support the growth of new products and services.
Other highlights from this report include:
Liquidity management is currently migrating from an optional service into a mandatory one, driven by regulations and investor concerns.
Banks and insurance companies have the most experience with managing their liquidity; these firms have a unique opportunity to deploy that expertise for their clients' benefit.
This report has identified three new liquidity risk management products targeted specifically for asset holders, each one meeting a distinct need in the marketplace.
For more information, please contact us at info@finadium.com or visit the Finadium website at www.finadium.com.
NO FEE, NO RISK
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
100% ON RETURNS If you invest in only one securities finance news source this year, make sure it is your free subscription to Securities Finance Times
