Hedge fund managers may be worried about the backlog of registration applications in advance of new European Union hedge fund rules coming into effect in four days, but the regulator processing them isn’t.
The U.K. Financial Conduct Authority said it expects to finish sifting through all applications for registration under the Alternative Investment Fund Managers Directive by July 22, when the rules come into force. As of earlier this week, the FCA had approved—conditionally or otherwise—less than half of the 927 firms that applied, it said.
A recent Preqin poll showed that British hedge fund managers were somewhat less sanguine about the FCA’s ability to plow through the remaining applications before Tuesday. And a survey by Confluence showed that more than one-third of managers aren’t ready to come into compliance with the rules, which we approved four years ago.