Asset managers have set out their concerns surrounding the future of securities lending for Ucits funds, which they say could be jeopardised should the European Securities and Markets Authority’s hefty consultation on exchange traded funds and Ucits go ahead as it stands.

The consultation sets out future guidelines on Ucits ETFs and other Ucits-related issues - one of which covers securities lending by a Ucits fund. The proposals will be finalised as guidelines for adoption in the second quarter this year.