Hedge funds will be required to disclose more information
about their operations to investors under plans by the European
Securities and Markets Authority (Esma).
Exchange traded funds (ETFs) can also expect more scrutiny
on collateral and securities lending.
Speaking at the International Capital Market Association's
annual general meeting in Paris on May 26, Esma chairman Steven
Maijoor said the Authority will launch a consultation in July
looking at proposals to ensure availability of information to
investors that will allow them to better assess the risk
profile of the fund.
Alternative investment fund managers will also need to
provide regulators with "sufficient information" on their
The consultation will be part of Esma's work providing
technical advice to the EC on the Alternative Investment Funds
However he acknowledged the effect such requirements can
have on funds. "We should be...