OPEN PROTOCOL REPORTING (previously OPERA – Open Protocol Enabling Risk Aggregation) is a private sector initiative designed to help standardise reporting procedures for collection, collation and conveying hedge fund risk information.
There is a standard reporting template which covers all areas relating to performance and risk reporting for hedge funds. It defines common principles, metrics and language to facilitate better understanding and aggregation of risk information.
As OPEN PROTOCOL REPORTING is increasingly being adopted by institutional investors as part of their investment due diligence, it is consequently driving the use of the reporting by hedge fund managers.