Activities of Evelyn REGNER related to 2011/0360(COD)
Legal basis opinions (0)
Amendments (1)
Amendment 1 #
Proposal for a directive
Recital 2
Recital 2
(2) An effect of the financial crisis has been that investors, including UCITS and AIFs, rely excessively on credit ratings to carry out their investments on debt instruments, without necessarily conducting their own assessments of the creditworthiness of issuers of such debt instruments. In order to improve the quality of the investments made by UCITS and AIFs and, therefore, to protect investors in those funds, it is appropriate to require the persons managing UCITS and AIFs to avoid relying exclusively and automatically on external credit ratings when assessing the risk involved in the investments made by the UCITS and AIFs they manage. The geninternal principle on the avoidance of excessive reliance on external credit ratingsk management processes and systems of the managers of UCITS and AIFs should therefore be inteupgratded intoand the risk management processes and systems of the managers of UCITS and AIFs, and adapted to their specificities.general principle adopted of avoiding excessive reliance on external credit ratings