Watchdog warns UK fund managers to avoid Woodford liquidity trap
By Huw Jones LONDON (Reuters) - Asset managers must ensure effective liquidity management of their funds, even where investment decisions have been delegated to others, Britain's Financial Conduct Authority said. The FCA is investigating the suspension in June of the now-closed flagship equity fund run by Neil Woodford, one of Britain's highest-profile asset managers, which was unable to meet daily calls from investors for redemptions. "Good fund governance ensures the liquidity of your funds' underlying assets is appropriately considered," Nick Miller, FCA head of asset management, said in a letter to asset managers which was published on Monday.
The post Watchdog warns UK fund managers to avoid Woodford liquidity trap appeared first on Firstpost.