MFA Submits Comments To President's Working Group

by Glen Shapiro, LawAndTax-News.com, New York

19 June 2008

The Managed Funds Association (MFA) has submitted its comments on the Best Practices Reports released by the two Committees appointed by the US President’s Working Group on Financial Markets (PWG).

Commenting on the MFA’s submission, which was filed on 13th June, Richard H. Baker, MFA President and CEO, stated that:

“MFA has reviewed thoroughly the Asset Managers’ Committee Report and the Investors’ Committee Report, and we are broadly supportive of both sets of recommendations, which are comprehensive and substantive. Our letters note the significant similarities between the Reports and MFA’s Sound Practices for Hedge Fund Managers, asks for clarification on certain recommendations and makes suggestions for the Committees to consider as they finalize their Reports."

"We are currently in the process of revising Sound Practices to incorporate the recommendations in the PWG Reports, and we are in full support of the PWG’s ongoing efforts.”

Andrew Baker, Deputy CEO of the Alternative Investment Management Association (AIMA) added that:

“We fully endorse the responses submitted by MFA to both committees; the principles identified are consistent with AIMA’s sound practices and are therefore applicable to our members. AIMA is fully supportive of the PWG’s advocacy of sound business practices for financial market participants, including investors."

"We are committed to the international harmonisation of sound practices for the alternative investment industry and look forward to leading this global approach with MFA as well as with all other industry stakeholders.”

Formed in 1991 and based in Washington DC, the MFA is a global association for the alternative investment industry. Its members include professionals in hedge funds, funds of funds and managed futures funds managing a substantial proportion of the estimated USD2tn invested in absolute return strategies.

Jointly, the MFA and the AIMA (the London-based Alternative Investment Management Association) welcomed the PWG Reports on their release in April, and are advocates of the international harmonization of sound business practices and the highest standards of conduct for the alternative investment industry and its investors worldwide.

The groups are in full support of, and are committed to participating in the development of a principles-based approach to the regulatory framework for the financial services industry worldwide, they have announced.

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