EUROPE: Hedge funds indices and UCITS – CESR publish Issues Paper

Thursday October 26 2006

CESR have today published an Issues Paper to solicit views on whether hedge fund indices can be classified as financial indices for the purpose of UCITS’ investment. Readers may recall that this was an issue which CESR deferred consideration of when they published their recommendations on eligible assets for UCITS.

The focus of the Paper is very much on obtaining a greater understanding of hedge fund indices, any biases that may exist within the indices and other qualitive factors relevant to assesment of whether hedge fund indices qualify as financial indicesToday’s publication is only an Issues Paper not a Consultation but CESR are requesting respondents’ views by 30th November. A Consultation should then be published in Febraury 2007 expressing CESR’s views. The Issues Paper can be found at the above link.