Alternative Investment Management Association
16 June 2006
London, 16 June 2006: The Alternative Investment Management Association (AIMA) - the largest global body representing the hedge fund industry – has issued a new publication to its member companies: ‘AIMA’s Guide to Sound Practices for Business Continuity Management for Hedge Fund Managers’.
With the growing use of hedge funds by institutional investors, fund managers are now required to build, test and review their contingency plans to identify any threats to the smooth operation of their business.
Others, including Regulators, also expect managers to have contingency plans in place to allow the continued management of investor’s money in a reliable and effective way, despite any threat to the fund’s operation. This will also be a requirement under MiFID (the Markets in Financial Instruments Directive, an EU wide directive that comes into force in November 2007).
AIMA, the hedge fund industry’s leading global association, has responded to this need by producing a comprehensive guide to business continuity and crisis management. Available to AIMA members only, the guide has been specifically written for hedge fund managers, based on an understanding of investor requirements and regulatory expectations.
Commenting on the new guide, Florence Lombard, Executive Director of AIMA said, “Like any other part of the financial services industry, hedge fund managers are affected by disruption and emergency. This is particularly relevant when managers are based in major financial centres, where the threat of terrorism is real and/or where the transport system and power supply play a crucial role.
It is now imperative that financial services companies have a tested business continuity management plan in place to ensure the preservation of essential data and functions and a timely resumption of their investment activities and services.
We hope that this guide, aimed at and designed for small - medium size hedge fund managers employing between 5 to 50 people, will act as a practical tool and stimulate them into ensuring their own plans are robust.”
The guide covers the key topics of:
The Guide is a benefit of membership and is freely available to all AIMA member companies for internal consumption.
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For further information, please contact Eoin Brophy, Hume Brophy Communications on +353 86 851 5477
1. About AIMA
Founded in 1990, AIMA is a not-for-profit global trade association with corporate membership in 46 countries. AIMA focuses specifically on hedge funds, managed futures and managed currency funds. With 1000 corporate members (comprising 3500 individuals), this enables the Association to create global tools for the benefit of its members, institutional investors and regulators. Its objectives are to increase investor education, transparency and promote due diligence and related sound practices, and to work closely with regulators and interested parties in order to promote the responsible use of alternative investments. AIMA’s membership includes fund of funds managers, institutional investors, hedge fund managers, prime brokers, exchanges, fund administrators, auditors, lawyers and other specialist service providers. Please visit us at www.AIMA.org.