Recent amendments to the scope of the regulated activity of advising on investments now make a distinction between “general advice” and “personal recommendations”. The FCA has recently issued some further guidance (PS18/3: Perimeter guidance on personal recommendations on retail investments) which provides some indications of the type of activities which, in the view of the FCA, could be considered to be personal recommendations.
On May 12, 2014, the U.S. Commodity Futures Trading Commission (“CFTC”)
announced a standardized, streamlined approach for no-action requests relating to delegation of commodity pool operator (“CPO”) activities by an unregistered CPO to a registered CPO. Delegation typically arises where (1) the general partner of a hedge fund organized as a partnership appoints a separate investment adviser and delegates the investment adviser to perform CPO responsibilities, or (2) the board of directors of a hedge fund organized as a corporation delegates CPO responsibilities to the fund’s investment adviser. More…
Despite suffering the worst recession since the Second World War, rates of corporate insolvency in England and Wales are low by historical standards. Looking back over the last 25 years, the rate of liquidations as a percentage of active registered companies peaked at 2.6% in 1992, and stood at an average rate of 1.2% over the whole period. In 2010, however, the rate stood at 0.7%. Why is this and what are the implications for businesses?
Explaining the paradox
It is true that formal insolvencies tend to peak when an economy is recovering from recession – a time when many businesses are suffering the strain of an increase in trade, and prices of realisable assets are on the rise. It is also true that low interest rates mean that many weak companies can survive for longer. However, those factors do not explain the extent of the reduction in corporate insolvencies. This reflects deeper structural changes in the recent downturn in the way that distressed businesses are dealt with in England. More…
Japan’s Nippon Life Insurance (Nissay) has signed a Memorandum of Understanding (MoU) with Reliance Capital Asset Management (RCAM), India’s second largest mutual fund, for buying 26% stake in RCAM. Nissay has agreed to invest an amount of approximately Rs. 1,450 Crore in RCAM, making it the largest investment in the mutual fund industry of India by a single foreign firm. Nissay is already a strategic partner of Reliance Life Insurance Co. Limited, after it acquired 26% stake in Reliance Life last year.
The deal, however, is yet to get the approval from the mutual fund regulator in India, the Securities Exchange Board of India (SEBI).