Malaysia Hotline: +603- 2141 8908
The
Investment Management Association of Singapore (IMAS) has launched best
practice guidelines for investment management firms.
These
are aimed at helping such firms better measure risk and returns, and is a
world-first for the industry.
Developed
by the Risk and Performance Committee in IMAS, some key recommendations
include:
-
Separating the investment function of asset managers from the governance of
risk and performance units;
-
Subjecting portfolios to regular scenario analysis and stress testing; and
-
Independent testing of risk models.
The
guidelines will help standardize processes in the industry, from large
international firms or small local boutique firms.
IMAS
represents more than 100 investment managers in Singapore, who are responsible
for assets under management (AUM) of more than S$800 billion.
"It's
very difficult for a retail investor to really get into the detail of whether
an investment management firm is well run, making sure that it's monitoring its
own risk and performance correctly, so they're among the leading group of stakeholders
who would benefit from this type of active debate," said Mr Trevor
Persaud, chairman for Risk and Performance Committee, Investment Management
Association of Singapore.
"The
reason why it was relatively easier in Singapore to do this than in some other
jurisdictions is that we already start off with a relatively high level of best
practice within the organizations that work here."
Contact us
If you have further queries, please contact Tannet
24 hours Malaysia hotline：603-21418908;
24 hours Hong Kong hotline：852-27837818;
24 hours Hong Kong hotline：86-755- 36990589;
Email: mytannet@gmail.com
TANNET GROUP : http://www.tannet-group.net, http://en.tannet.com.my