The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

BlueBay Portfolio Manager Resigns Following Valuations Breach

BlueBay Asset Management has indicated that the portfolio manager of its Emerging Market Total Return fund, Simon Treacher, has resigned following a “breach of internal valuation policy”. The fund management firm has also made the decision to close the fund as a result of the current market conditions but it stressed that this action was not taken in connection with the breach.

According to BlueBay, the breach had no material impact on the net asset value (NAV) of the fund, which has been suffering due to the deteriorating market conditions resulting in a loss of 53% of its value year to date. However, the firm has not provided details about the breach or how the valuations were altered.

This breach comes against a background of increased regulatory and public scrutiny of the valuations space. For esoteric instruments and products especially, fund managers are being forced to revisit the valuation process to ensure that it is robust. This necessarily involves providing more transparency around the process for investors and defining more valuation controls, if required. An issue has also been made of segregation of duties between the investment decision makers and the valuation function, in order to prevent events such as this breach.

Related content

WEBINAR

Recorded Webinar: Managing the transaction reporting landscape post Brexit: MiFID II, SFTR, EMIR

The transaction reporting landscape has, for many financial institutions, expanded considerably in size since the end of the UK’s Brexit transition period on 31 December 2020 and the resulting need for double reporting of some transactions to both EU and UK authorities. It has also changed dramatically following the UK government’s failure to reach equivalence...

BLOG

A-Team Group Names Winners of Data Management Insight Awards 2020

A-Team Group has announced the winners of its prestigious Data Management Insight Awards 2020. The annual awards, now in their eighth year, recognise leading providers of data management solutions, services and consultancy to capital markets participants. The award winners were announced online across categories ranging from best sell-side and buy-side data management platforms to best...

EVENT

RegTech Summit APAC Virtual

RegTech Summit APAC will explore the current regulatory environment in Asia Pacific, the impact of COVID on the RegTech industry and the extent to which the pandemic has acted a catalyst for RegTech adoption in financial markets.

GUIDE

Hosted/Managed Services

The on-site data management model is broken. Resources have been squeezed to breaking point. The industry needs a new operating model if it is truly to do more with less. Can hosted/managed services provide the answer? Can the marketplace really create and maintain a utility-based approach to reference data management? And if so, how can...