Prime brokers move towards independent SAS 70 checks

Prime brokers have focused on bolstering asset security for clients after billions of dollars of client assets were caught up in the administration of Lehman Brothers International (Europe) (LBIE).

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Prime brokers are increasingly undergoing independent third-party assurance checks known as statement on accounting standard (SAS) 70, to calm fears among hedge funds and investors over asset security. In January, Deutsche Bank was the first European prime broker to announce a type one SAS 70 certification, and it is understood five other prime brokers are currently undergoing a SAS 70 audit.

"We are looking to undertake a SAS 70 to be completed later this year. It is something the investor

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