Clear advice on hedge funds is seen as a vital element of giving retail investors access to the asset class, but firms disagree on the most effective method to open long-short vehicles to wider investment.
According to Martin Cornish, a partner at law firm Katten Muchin Rosenman Cornish, there is a need to educate intermediaries about hedge funds.
“The education process would take most of the time between now and any rule changes,†he said at a roundtable on the retailisation of hedge funds held last month.
He pointed out the FSA plans to consult the industry in early 2007 as part of a review of reforms to the rules for Ucits schemes and insurance company permitted links.
