Brazil’s Haddad Backs Central Bank Fund Oversight After Master

Brazil’s finance chief called for giving the central bank authority to regulate investment funds, arguing the move would strengthen oversight of the financial system following the liquidation of troubled Banco Master SA.

Finance Minister Fernando Haddad said he has advocated transferring regulation and supervision of investment funds from Brazil’s securities regulator, the CVM, to the central bank. The proposal is under discussion within the monetary authority and the attorney general’s office, he said.

“It would be a very good response if we expanded the central bank’s oversight power over the funds, because then everything would be supervised and regulated ...