A working draft of risk management standards and practices for institutional investors has been sent out for comment. The 33 standards - developed by 11 institutional investors with the assistance of risk management consultants - are designed to give long-term investors such as pension funds their own set of general standards for managing risk. Comment is being sought from other tax-exempt investors as well as money managers, broker-dealers, academics, consultants, auditors, custodians and exchanges until mid-August. Final standards are expected to be released by mid-September.
``Many of us felt kind of a vacuum existed'' regarding risk management and pension plan investors, said Richard Rose, CIO of the San Diego County Employees' Retirement Association. Other standards, such as the Group of 30 report, are geared to other types of institutions, he said.