DealZone

from Funds Hub:

A kick up the…

It seems the UK Treasury Select Committee's very public chastisement of the hedge fund industry in January has had some effect.

rtrxsy1At the time, MPs zeroed in on the Hedge Fund Standards Board (HFSB) in particular and the relatively small number of funds it had signed up -- 33 in December -- even though these funds accounted for half of the European industry.

"You've attracted 20 fresh members in a year. If I was a trade union officer on recruitment I'd be sacked," quipped Committee member George Mudie at the time.

However, things have moved on and firms have been -- if not rushing -- at least moving slightly more speedily to sign up.

With regulation at a European and international level looming, hedge funds are increasingly aware of the need to be seen to be imposing best practice standards.

from Funds Hub:

Blowin’ in the wind

rtr22twuThe timing of the Alternative Investment Management Association's hedge fund disclosure initiative indicates just how strong the winds of change are blowing in hedge fund land.

Coming just a day after ECB President Jean-Claude Trichet called the credit crisis "a loud and clear call" for extending hedge fund regulation, the move shows the hedge fund industry feels it must be more active in deciding the future shape of regulation.

The move, which will include regular -- probably quarterly -- disclosure of systemically significant holdings and risk exposure to national regulators, goes further than that suggested at last month's Treasury Select Committee by Marshall Wace chairman and Hedge Fund Standards Board trustee Paul Marshall, who had proposed aggregating data through prime brokers.