Times Online – BRITAIN\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s most influential investor group, the Association of British Insurers, has called for City regulators to insist that hedge funds disclose their large positions at all times,not only when they are bidding for a business.<\/p>\n
The ABI, whose members own about 20% of the shares listed on the London stock market, made the demands as part of its response filed on Friday to an informal consultation on amending the Takeover Code.<\/p>\n
A year ago the Takeover Panel made a temporary change to the market rules in which all shareholders, including those holding shares through derivatives, options, and contracts for difference (CFDs), have to disclose positions representing more than 1% of a company in an offer period.<\/p>\n
Peter Montagnon, ABI director of investment affairs, told The Sunday Times: \u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cThrough this consultation the Takeover Panel has shown that a modern disclosure system can work, that it doesn\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2t result in an overburdening of information or loss of liquidity and brings genuine benefits to the market. We hope the FSA [Financial Services Authority] will look closely at adopting this model across the market at all times \u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u20ac\u009d not just in bid situations.\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d<\/p>\n