| ESMA assesses the risks posed by the use of leverage in the fund sector
April 24, 2025-The European Securities and Markets Authority (ESMA), the EU's financial markets regulator and supervisor, today publishes its annual risk assessment of leveraged alternative investment funds (AIFs) and its first analysis on risks in UCITS using the absolute Value-at-Risk (VaR) approach. |
| Both articles represent ESMA's work to identify highly leveraged funds in the EU investment sector and assess their potential systemic relevance.
While most EU investment funds make limited use of leverage, a subset of AIFs are substantially leveraged, and a group UCITS using the absolute VaR approach has very high levels of gross leverage. Risk assessment of leveraged AIFs shows that hedge funds display the highest levels of leverage, even though they represent a small part of the EU fund industry. view more |
| Columbia Threadneedle Investments expanding US active ETF range to Europe
May 19, 2025--A 'natural expansion' for the firm |