Could anybody in states please interpret what is “side letter, sidecar, tag-a-long” arrangement with clients (in Asset manager code of professional conduct, B3. ). thanks !
?
it’s an arrangement between an asset manager and the client for the asset manager to place his/her/firm’s principal into the separate account that mimics the strategy that the manager is putting in place for the client.
interesting.
deriv108 Wrote: ------------------------------------------------------- > interesting. very!!
hmm, so this clearly hasn’t been tested…
what do you think, a new client comes to you asking for a side letter. HF manager says ok, provided your existing clients don’t benefit from it. Ok or NOK?