German efforts to rein in hedge funds may be striking out with American officials, but on the other side of the globe, the country’s embattled hedge fund initiatives are receiving a warmer hearing.
The Chinese Finance Ministry has endorsed the German drive for greater hedge fund transparency, Executive Intelligence Review reports, calling the step important in maintaining financial stability. China is also reportedly in favor of supervision of transactions, the scope and operation plans of hedge funds, far beyond anything the U.S. seems willing to countenance.
It is unclear what, if any, effect the Chinese position will have. China is not a member of the G8, which, under Germany’s presidency, is set to consider what moves to take with regard to hedge funds at its June summit.