Money managers under the microscope
The unfolding crisis in British politics makes for fascinating viewing for the populace and great work for journalists, but it also of course has potentially far-reaching implications in the financial sector.
As cabinet ministers resign and Labour MPs call for Gordon Brown to step down, several outcomes now distrinctly possible — Brown stays, a new Labour prime minister emerges or a general election is called and (if polls are correct) the opposition Conservatives win. The future direction of UK government policy is far from clear.
And while it may not exactly be topping the main contenders’ manifestos or dominating the discussion on the doorsteps, the future regulation of the hedge fund industry is also likely to be affected by any change in leader.
This week executives from London’s top hedge funds met with Treasury officials and the Financial Services Authority to discuss the UK’s position on the (at least in Britain) widely-derided draft EU law on hedge funds and private equity.