The Managed Funds Association and the Alternative Investment Management Association have announced an alliance under which the two organisations will work together more closely and collabo

The Managed Funds Association and the Alternative Investment Management Association have announced an alliance under which the two organisations will work together more closely and collaborate on key industry initiatives.

'MFA and Aima will develop a framework for increased cooperation on issues of common interest such as the adoption of a global, principles-based regulatory system which will unify our members across jurisdictions and foster industry-wide compliance with the highest levels of sound business practices and integrity,' say MFS president and chief executive Richard H. Baker and Aima chief executive Florence Lombard.

Initially, the world's two largest hedge fund industry organisations will develop an information exchange, take part in each other's board meetings, discuss the development of shared initiatives and collaborate on educational seminars.

'Our members collectively represent the vast majority of alternative investment fund groups worldwide,' says MFA chairman Eric Vincent. 'We seek to establish a unified global industry voice, to avoid duplication of effort on common initiatives, and to foster market disciplines and efficiencies for our members, counterparties and investors worldwide.'

His Aima counterpart Christopher Fawcett adds: 'Aima and MFA are seeking closer co-operation on issues of mutual interest, and our aim is to facilitate communication among our members that will promote a unified approach to issues that impact our businesses and our ability to meet our investors' needs.

'The international convergence of sound practices is the right way forward for the industry, and the demand and challenge now is for the industry to bring about convergence between the various standards proposed.'

The MFA, which was established in 1991 and is headquartered in Washington, DC with an office in New York, has a membership of professionals in hedge funds, funds of funds and managed futures funds.

London-based Aima has more than 1,300 corporate members in 49 countries worldwide including managers of hedge funds and funds of hedge funds, prime brokers, providers of legal and accounting services and fund administrators.