Investor trust in hedge fund managers, corporate boards and corporate executives declined this year, according to the 2009 Financial Market Integrity Index released today by the CFA Institute Centre for Financial Market Integrity.
In contrast, the perception of pension fund managers was highest in the index, the statement said.
“Based on their perception of market ethics and integrity alone, only 49% (vs. 68% in 2008) of … respondents were likely or very likely to recommend investing in U.S. markets,” a CFA Institute Centre statement about the index said.
Also, respondents “overwhelmingly affirm that dissatisfaction with the (U.S.) current regulatory model,” the statement said.
The index report for the U.S. “gauges CFA charterholders' perceptions of the state of ethics and integrity in six different markets around the world and how these perceptions change over time,” the statement said.
“The FMI measures the level of integrity — the ethics of market participants and the effectiveness of market systems in ensuring market integrity — that CFA charterholders experience in their respective markets: Canada, Hong Kong, Japan, Switzerland, the U.K. and the U.S.,” the statement said.