On April 18, 2016, the Financial Stability Oversight Council again warned that asset managers present systemic risk to financial stability in five key areas:
..liquidity and redemptions;
..leverage;
..operational functions;
..securities lending; and
..resolvability and transition planning.
In a 27-page statement, the FSOC detailed its concerns and how regulators should respond to those risks.
Originally published in Law360 on May 13, 2016.
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