FTAdvisor.com – The FSA has stopped short of directly regulating the hedge fund and private equity industries, according to the regulator.
At the economic and monetary affairs committee public hearing, Dan Walters, director of retail policy and themes and sector leader for the FSA, said hedge funds themselves were outside of the FSA’s jurisdiction, but that hedge fund managers – of which there are 450 in the UK collectively managing 80 per cent of Europe’s Euros290bn- did fall within the regulator’s remit.
However, Mr Walters avoided making promises, saying the FSA’s approach to hedge funds did not extend to "prescribing or second-guessing their [hedge fund managers’] strategies, or preventing those who invest in them from losing money."
