Pictet Asset Management has taken reasonable steps to identify potential conflicts of interest. We take all appropriate measures to manage any conflicts of interest arising, which includes the following:
- Separation of the fund management and dealing functions
- Research Commission Governance Committee oversight
- The pre-allocation of orders
- A fair trade allocation policy. Where orders that cannot be executed in full, reduced allocations are normally made on a pro-rata basis, unless this would result in uneconomic allocations to clients
- Fair allocation of investment ideas
- Side-by-side management (performance fee funds vs non-performance fee funds)
- Trading with affiliates only where permitted by clients, and where best execution can be obtained and monitored
- Reconciliation of commission volumes traded via Commission Sharing Agreements
- Periodic review and assessment of services paid under CSA arrangements to ensure eligibility
- No proprietary trading
- A strong Code of Ethics imposing strict rules on staff personal trading and the giving or receipt of gifts or entertainment, including the prior approval of the Compliance department.
Our Compliance department undertakes regular monitoring to provide assurance to senior management that conflicts of interest are effectively assessed and managed.