EU Markets Chief Sounds American At COC Talk

Mar 7 2007 | 11:54am ET

The European Union’s top official overseeing hedge funds has added his voice to the chorus calling for no new regulations.

Charlie McCreevy, the EU’s internal market and services commissioner, told the U.S. Chamber of Commerce in Washington—admittedly, a crowd more open to such declarations than he is likely to find in his own jurisdiction—that Europe doesn’t need any new rules, as central and investment banks are doing a fine job monitoring the situation as is.

“The evidence that hedge funds have increased the efficiency of our capital markets and increased liquidity is indisputable,” he said at a luncheon in Washington yesterday. Brokers are “checking their hedge fund clients’ positions twice a day,” as it is “their job to make sure that no element of the banking industry is overexposed.”

McCreevy’s comments echoed those made earlier in the day by Anthony Ryan, assistant U.S. Treasury secretary for financial markets. On the other side of the pond, however, efforts, spearheaded by the German government, are underway to increase global monitoring of hedge funds.

McCreevy scoffed at the idea that banks are exposing themselves to dangerous risks. “Do we really believe that any Joe Sixpack who shows up at Goldman Sachs, Morgan Stanley or UBS will be given a fat check to trade as a hedge fund? No. That is not what happens.”


In Depth

'Smart Beta' Funds In Regulators' Sights, Hedgies May Be Next

Mar 26 2015 | 11:11am ET

Funds that mimic strategies used by active managers for a fraction of the cost could...

Lifestyle

Study: Both Marriage and Divorce Lead to Negative Hedge Fund Performance

Mar 25 2015 | 6:51pm ET

Trouble at home leads to trouble in the market for fund managers, according to researchers...

Guest Contributor

Concerned About Your HFT Exposure? Hedge It!

Mar 26 2015 | 1:06pm ET

High-frequency trading has been a persistent storyline for several years. The trading...

 

Sponsored Content

    Mar 9 2015 | 6:35am ET

    Kelly RodriquesKelly RodriquesAs more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…

Editor's Note