18th May 2021

Regulatory focus on UCITS liquidity management

A Liquidity Risk Management industry letter issued by the Central Bank of Ireland on 18th May 2021 follows a review which was carried out by the CBI as part of a Common Supervisory Action (CSA) instigated by ESMA and completed with all EU regulators. The purpose of the CSA was to assess UCITS managers’ compliance with their liquidity risk management obligations. Management Company Boards will need to ensure the contents of the correspondence are considered. Where there is scope for improvement in related practices, it will be necessary to take the required actions to address any of the CSA findings which were highlighted by the CBI. Click HERE to read the industry letter.