A regular briefing for the alternative asset management industry.
When it comes to the regulation of alternative asset managers, Europe and the US have - until now - been on parallel paths. Since the financial crisis, regulators have argued that private capital fund sponsors should not be exempt from regulatory oversight; on the contrary, their view has been that rules are needed to protect investors, the financial system, and even the real economy. Although private equity and similar strategies did not cause or contribute to the global financial crisis - and although most investors in such funds are sophisticated institutions - legislators on both slides of the Atlantic have brought forward extensive regulations.