Saturday, 25 April 2015
Last updated 1 day ago
Jun 8 2007 | 11:16am ET
As expected, Germany’s much ballyhooed call for hedge fund regulation went nowhere at the summit of G8 leaders this week.
In a communiqué issued after the meetings, the heads of the world’s richest nations acknowledged, “We discussed recent developments in global financial markets, including hedge funds.”
“We reaffirm the need to be vigilant,” it said, but went no further.
German leaders have been preparing for this outcome for some time.
“We won’t score our big hit in Heiligendamm,” Bernd Pfaffenbach, the German organizer of the meeting, admitted, referring to the Baltic resort town where G8 leaders met from Wednesday through Friday. German Chancellor Angela Merkel, in an interview published in the magazine Der Spiegel this week, indicated that hedge funds would not occupy much time at the summit.
“There are parts of the conference program on which negotiations have practically been concluded,” she said. “For example, the hedge fund issue,” which was discussed at a meeting of G8 finance ministers last month.
But the Germans have been nothing if not tenacious and resilient on the issue, and indicated that this failure has not cooled their enthusiasm for achieving some sort of hedge fund oversight.
“We talked about [hedge funds] at the summit in Gleneagles [in Scotland] in 2005, but ran up against a wall there,” Pfaffenbach told Agence France-Presse. “This time, the U.S. and Britain, where most of the funds are based, are prepared to discuss the issue.”
“That’s a start,” he added hopefully.
Germany’s point man on the issue, Finance Minister Peer Steinbrück, also said his country will continue to try to persuade other countries—in addition to the U.S. and U.K., Japan has indicated its opposition to any sort of hedge fund regulation or oversight—of the efficacy of its position.
“The government is trying to reach international consensus on potential measures that aim to limit potential systemic risks for financial stability,” he wrote in a guest column in the business newspaper Börsen-Zeitung. “Our aim is an international code of conduct, which the industry—also in its own interest—applies to itself. It’s also clear that we’re only at the beginning of the debate and that there will not be any quick decisions.”
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…