Thursday, 28 July 2016
Last updated 6 hours ago
Jan 30 2014 | 11:28am ET
Hedge funds are once again facing a skeptical eye from Germany.
The European Union at last released a proposal to reduce systemic risk at big banks yesterday. The regulations, similar to the Volcker rule in the U.S., would bar European banks from proprietary trading and require them to separate some riskier operations.
But the bloc's biggest economy isn't happy with its provisions on hedge funds.
"I am a bit worried that the [European] Commission's proposals on the isolation of high-risk trades at hedge funds don't go as far as our German rules," Finance Minister Wolfgang Schaeuble said. "This is a point we must look at."