European Central Bank publishes working paper on macroprudential investment fund regulation

Published: 09 August 2022

On 2 August the European Central Bank published a working paper on macroprudential regulation of investment funds. The paper analyses the interaction between investment funds and banks and argues for a higher minimum liquidity buffer for investment funds with a suggested buffer of 8% of assets under management. By suggesting methods to protect bond liquidation the paper intends to increase the economic resilience to sudden market shocks as seen in 2020.

For further information please contact Sam Koslover ([email protected])