October 2014 ezine

 
Welcome to our latest newsletter.
 
 
Current Observations and Musings
There have been some interesting developments over the past month. Here in Ireland the Central Bank of Ireland published a consultation paper (CP86) – link here. Whilst some in the funds industry have questioned the timing of potentially new regulation (even though it is largely guidance) so soon after AIFMD went live on July 22nd, others see it as a welcome clarification and streamlining of the managerial functions. The rules on Irish funds requiring a second Irish director have been relaxed. The CBI hope this will deepen the pool of available talent as it believes there may be a skills shortage in the funds industry. Anything which makes Ireland a better place to domicile a fund has to be a good thing; however there are consequences – some intended and some unintended.
At RiskSystem we believe we can attract highly talented graduates to work with us where we can teach them the necessary skills to become risk analysts. There is no reason we can’t have 30 or 40 people working as data and risk analysts providing risk oversight to boards. We can already supply experienced and skilled people to take on the risk or liquidity management functions on behalf of boards (either as board members or designated individuals that do not sit on the board). Ireland has a fantastic opportunity to develop a pool of highly skilled, well paid risk analysts and risk managers serving Alternative Investment funds globally. One thing is for sure demand for risk management skills will increase as AIFMD becomes more entrenched and the CBI enforces the regulatory requirements per the AIFMD legislation.