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 "identifier": "kaal:entity:jurisdictional-arbitrage",
 "name": "Jurisdictional arbitrage",
 "termCode": "jurisdictional-arbitrage",
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 "author": {
  "@type": "Person",
  "name": "Wulf A. Kaal",
  "identifier": "https://orcid.org/0000-0003-0757-275X"
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  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/3405660-001",
   "identifier": "kaal:claim:3405660-001",
   "text": "Direct hedge fund regulation faces a two sided trap: strong direct rules push hedge funds offshore where they escape regulation altogether, while weak rules leave investors without adequate protection.",
   "abstract": "Yet, regulators are faced with the problem of jurisdictional arbitrage, i.e. if they regulate directly, hedge funds may relocate offshore and escape from regulation altogether. If regulators impose weak regulations, investors may not be afforded adequate protection.",
   "citation": "Kaal, Indirect Regulation of Hedge Funds (2019). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3405660",
   "datePublished": "2019",
   "claim_type": "failure",
   "confidence": "argued",
   "is_failure_mode": true,
   "scope_conditions": [
    "regulators rely on national direct regulatory tools",
    "hedge funds retain the option to relocate offshore"
   ],
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   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/3405660-015",
   "identifier": "kaal:claim:3405660-015",
   "text": "Coordinated international cooperation in hedge fund regulation will ultimately be hindered by administrative costs, immense transaction costs, setup costs and, above all, the divergent interests of offshore havens and the resulting jurisdictional arbitrage, so it may never become a realistic regulatory option.",
   "abstract": "The administrative costs, the immense transaction costs as well as the costs of setting up such a venture and, most importantly, the differing interests especially of off-shore heavens and, hence, jurisdictional arbitrage will ultimately hinder such actions.",
   "citation": "Kaal, Indirect Regulation of Hedge Funds (2019). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3405660",
   "datePublished": "2019",
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   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/3405660-031",
   "identifier": "kaal:claim:3405660-031",
   "text": "Indirect regulation removes the problem of missing jurisdictional authority and therefore of jurisdictional arbitrage, because the Basel Framework applies to banks worldwide rather than to funds in any one jurisdiction.",
   "abstract": "Indirect regulation of hedge funds removes the problem of lacking jurisdictional authority and, thus, jurisdictional arbitrage. The Basel Framework is a framework for banks worldwide.",
   "citation": "Kaal, Indirect Regulation of Hedge Funds (2019). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3405660",
   "datePublished": "2019",
   "claim_type": "mechanism",
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   "is_failure_mode": false,
   "scope_conditions": [
    "Basel Framework is broadly adopted across banking jurisdictions"
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  }
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 "description": "3 claims in the published works of Wulf A. Kaal carry the concept tag 'jurisdictional-arbitrage'. Derived node: a roster, not an adjudicated definition."
}