Hedge Fund Focus

CUSIP Global Services Teams With HedgeFund.Net to Develop Unique Identifiers for Hedge Funds

CUSIP Global Services (CGS), managed by Standard & Poor’s on behalf of the American Bankers Association, today announced that HedgeFund.net, a leading source for hedge fund and fund of hedge fund information owned by Channel Capital Group Inc, will aid in the development of a CUSIP identification system for hedge funds and funds of hedge funds on a global basis.

Under this collaborative effort, CUSIP Global Services will generate a 9-character CUSIP and 12-character ISIN for unique hedge funds and fund of hedge funds and their underlying classes within its jurisdiction. CGS will leverage HedgeFund.net’s leadership position in capturing core information on such funds and their unique attributes to develop a common language for this asset class. The introduction of official CUSIP codes for hedge funds continues the expansion of asset class coverage by CGS in 2009, following the recent announcements of unique CUSIP identifiers for listed equity options and legal business entities (”CABRE’s”). This product has been designed to enhance the quality and efficiency of hedge fund information flows, enhance business processing methods and hedge fund research for hedge fund industry stakeholders. Preliminary feedback received from investors, investment managers and service providers, indicates that there is considerable demand for a unique identification system for the hedge fund industry.

CGS plans to formally launch its CUSIP Hedge Fund Service by the end of September, at which time there is expected to be a substantial group of funds with CUSIPs, accompanying ISINs and related data elements. Market participants who wish to take in the CUSIP Hedge Fund Service will be able to do so directly from CGS or via a properly licensed vendor. HedgeFund.net’s hedge fund database product, which provides hedge fund performance and qualitative information, will also contain hedge fund CUSIPs and ISINs.

CGS and HedgeFund.net plan to continue discussions with key industry constituencies around the development of the CUSIP Hedge Fund Service in the coming months.