The risk of illiquid asset valuations

The casualties of the credit crisis have not yet been fully quantified

The credit crisis that reared its head during the summer of 2007 has continued to adversely affect global capital markets throughout the first quarter of 2008. While the most high-profile casualties have been Wall Street CEOs, as well as a number of funds and special purpose vehicles, the current market conditions also pose enhanced risks to fund managers and directors. It is the busiest time of year for fund audits and this means that a large number of funds will be signing off on their financial statements for 2007. While the simpler strategies are not expected to cause any greater le...