Some of the provisions in the UCITS Directive have fallen
out of place with innovation by product providers, according to
a report published by a European asset management industry
When the directive was first developed the use of
derivatives was limited to hedging risks and efficient
Today UCITS funds are allowed to use derivatives as an
integral part of their investment strategy not only to limit
market risks but also to generate returns.
The 187-page report, Rethinking...