EU Markets Commissioner Says Hedge, P.E. Regulation ‘Inevitable’

Feb 26 2009 | 11:10am ET

A longtime opponent of increased regulation of the alternative investments industry is raising the white flag. Charlie McCreevy, the European Union internal markets commissioner, said today that stricter oversight of hedge funds and private equity is inevitable, but continued to urge caution in action.

“Closer direct regulatory and supervisory oversight of hedge funds and private equity is inevitable,” he said at a public hearing in Brussels. But he urged the European Commission, which will consider new regulation of alts next week, to treat the two sectors separately.

McCreevy has long warned of the dangers of rash action regulating hedge funds and p.e., but has been worn down by the ongoing financial crisis and the increasingly loud drumbeat of support for reining in alternatives in Europe. Even today, he laid more blame for the worst economic environment since the Great Depression squarely at the feet of regulators, than on hedge funds.

The Irishman blasted the regulators both in Europe and the U.S., which he said “aided and abetted” the conditions that helped the financial crisis snowball.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

Looking for a way to keep warm during the cold weather or rather alleviate your cold while under the weather?