FSA has released the results of its surveys on hedge funds, and on hedge funds as counterparties. It found that systemic risk could arise through credit and market channels, as losses on hedge fund investments could adversely impact on creditors and investees. FSA said the results were what it expected and that major hedge funds do not pose a potentially destabilising credit counterparty risk. Hedge funds had a relatively low level of leverage. FSA will repeat the survey every six months.