Published: July 27, 2009

Fails Penalty Policy Will Cost Asset Managers at Least $75,000 per Year

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MarketResearch.com has announced the addition of TowerGroup's new report "A Renewed Interest in Claims: The Treasury Market Practices Group's Fails Charge," to their collection of Banking & Financial Services market reports. For more information, visit http://www.marketresearch.com/redirect.asp?progid=67618&productid=2274056

The Treasury Market Practices Group's (TMPG's) recommendation for a penalty for a settlement fail in US Treasury securities will be felt across the global financial services industry.

The buy side in financial securities trading will bear the brunt of the fails penalty policy as the designated arbitrator of the charge.

TowerGroup estimates that a typical asset manager can expect to spend a minimum of $75,000 (USD) on staffing and technology enhancements to comply with the new market practice recommended by the TMPG.

TowerGroup contends that buy-side investment managers will ultimately benefit from a new fails penalty policy as they strengthen their fails management process and risk controls to comply with the directive.

Topics covered in the report include...
Report Coverage
The TMPG Recommendation
What the TMPG Recommendation Means for the Buy Side
Blueprint for Compliance
Summary

For more information visit http://www.marketresearch.com/redirect.asp?progid=67618&productid=2274056