Pacific Basin Economic Council (PBEC)
Lunch Seminar
May 26, 2011

Understanding global risks facing the asset management industry

In the wake of the global financial crisis, there has been a marked increase of capital flows to Asia, particularly to the financial centers of Hong Kong and Singapore. According to Eurekahedge, assets under management by Asian hedge funds (ex. Japan) totaled USD$105 billion or 7% of global funds under management in 2009. This figure is expected to rise to US$182 billion by 2012. With this rapid growth, regional regulators and policy-makers are examining rules and regulations. What regulatory landscape will emerge – and how will it effect Asia Pacific operations? How can asset managers respond to new regulations and better manage risk?

1. LEGAL DEVELOPMENTS

Speaker: Greg Heaton, Partner – Financial Services Practice Group Deacons, Hong Kong

• The impact of recent overseas legal and regulatory developments on fund managers in Hong Kong
o US: Foreign Account Tax Compliance Act, Investment Advisor Registration and New Issues Rule
o EU: AIFM Directive
o PRC: RMB Internationalization

2. US REGULATION GOING GLOBAL – HOW ASSET MANAGERS IN ASIA PACIFIC ARE IMPACTED

Speaker: David Sung, Partner – Financial Services
Ernst & Young, San Francisco, USA
• Operational impact for asset managers if they have to be registered as investment advisors

3. DUE DILIGENCE – WHAT SHOULD FUND MANAGERS WATCH FOR

Speaker: John McFarland, Head of Fraud Prevention & Integrity Risk Services
Hill & Associates Group, Singapore
• The practical difficulties of finding out who you are really dealing with
• Why what works in due diligence in one country does not necessarily work in another
• Case Study: “You cannot judge a book by its cover”

4. RISKS FACING ASSET MANAGERS – FROM AN UNDERWRITER’S PERSPECTIVE

Speaker: Evan Rosenberg, Senior Vice President – Chubb Specialty Insurance
Chubb & Son, USA
• From minimal regulation to possibly over regulation? What future exposures do we see and how can they be managed?
• What type of insurance claims has Chubb seen impacting private equity, hedge funds and VC’s post-financial crisis?

WHO SHOULD ATTEND?

• Investment Committee Members
• Advisory Committee Members
• General Counsels
• Managing General Partners
• Regulators
• Lawyers