UK - Charities concerned at a lack of transparency in hedge funds should invest in other absolute return products instead, Schroders says.
The fund management company recommended that pension funds should look at absolute return long-only funds instead, which have similar return characteristics to hedge funds but cannot go short, or sell shares they do not own.
Instead, these funds hold high cash balances to manage the downside risk of equities.
Enhanced powers for The Pensions Regulator (TPR) to prosecute and fine company directors who "wilfully or recklessly" put their defined benefit (DB) pension scheme at risk will be hard to enforce, commentators say.
Melrose has pledged to contribute up to £1bn to GKN's pension schemes as part of a final offer to acquire the engineering business.
Existing master trusts will be forced to pay £41,000 when applying for authorisation under the upcoming regime, the government has confirmed.
UPDATE 2 - DWP publishes DB white paper: Stronger powers for TPR, DB chair statements to be introduced
The Pensions Regulator (TPR) will be given the power to fine company bosses who deliberately puts their defined benefit (DB) schemes at risk, the government has confirmed.