The proliferation of hedge funds - along with the high risk, high reward positions that they take and the ever-present potential for fraud - brings with it the increased risk of financial collapse of the unlucky or undiversified ones.
The phenomenon has already shown itself with some recent high-profile collapses. The majority of hedge funds are organised and registered in offshore jurisdictions, yet when trouble arises United States Bankruptcy Court protection is frequently sought, in large
The week on Risk.net, October 6-12, 2017Receive this by email
- SGX, HKEX expect to be among first wave of Mifid II equivalence
- Leaked EU doc could shield legacy swaps from clearing grab
- Quantile, TriOptima face off in cleared swaps compression battle
- ABS set for revival under US Treasury’s liquidity buffer plans
- Quants stymied by lack of alternative risk premia flows data