Wednesday, 24 August 2016
Last updated 1 min ago
Mar 20 2013 | 12:20pm ET
British regulators yesterday began the process of imposing the European Union's new hedge-fund bonus rules in the U.K.
The Financial Services Authority launched a consultation period on the Alternative Investment Fund Managers Directive's rules for bonuses. The EU law requires hedge funds to defer a significant portion of a managers' bonus over several years, and to pay at least half of bonuses in equity-linked instruments related to a manager's fund.
Britain has until July to add the EU rules to its own. The consultation closes on May 10.
The FSA will not see the conclusion of the matter: The regulator will be broken up at the end of the month, with its powers split between the Bank of England and the new Financial Conduct Authority.