A report from the FSA saying that hedge funds seem to be performing well within the current regulatory framework has been received with great approval from AIMA.
FSA Chief Executive Officer John Tiner said the agency has to be careful in regulating hedge funds lest it interferes with their ability to perform internationally.
The AIMA released a reporting response Friday that calls the FSA’s assessment “pragmatic” and says that it appreciates that the FSA “recognizes the global nature of the hedge fund industry.”
“The FSA is one of the leading global regulators and has always taken a pragmatic approach to hedge fund regulation,” says Florence Lombard, executive director of AIMA. “It offers a good example of how regulators have worked with the industry. More than 75% of the European hedge fund and related industries are based in the UK. An appropriate regulatory environment is one of the key reasons to their continued presence here.”