Publication Date : 05/09/19
Source : ESMA
Key Takeaways
- A new stress simulation framework devised by ESMA has been applied to over 6000 UCITS Bond Funds. The framework was designed to simulate a pure redemption shock.
- Results show that generally many funds are able to handle such a shock.
- However, more importantly their testing identified that a high proportion of high yield bond funds may not be able to cope with mass redemption’s.
- Further details available from ESMA at the link.
