Politics & Regulation

IOSCO sets fund of hedge funds standards


The International Organization of Securities Commissions (IOSCO) published a paper on standards and best market practices aimed at addressing regulatory issues of investor protection that have come out of increased involvement of retail investors in funds of hedge funds.

In 2008, IOSCO outlined concerns over funds of funds dealing with liquidity risk and the due diligence process. The standards, Elements of International Regulatory Standards on Funds of Hedge Funds Related Issues Based on Best Market Practices, published in September, are part of broader work that IOSCO has been focused