European and US funds show increased interest in Australia
“In the last few months, there has been an increase in fund formations (in both the US and UK) but they are not back to pre-GFC levels. Funds are being formed by mainly larger players and they are raising smaller amounts. The balance of power in fund terms is shifting from the manager or general partner towards investors.” Last month we had more than 60 meetings with clients and law firms in Europe and the US. We also met with the Luxembourg regulator and presented to a meeting of The Association of the Luxembourg Fund Industry. This article contrasts the proposed regulatory reforms in those territories and their potential impact for Asian and Australian managers. It also looks at the types of funds that have been formed recently and why there is likely to be more interest in managing Australian's investments and investing into Australian assets. Increased regulation of wholesale funds by the EU and USA Both the European Union (EU) and the US have proposals to regulate fund managers and funds of wholesale funds. Both: Propose that managers and advisers obtain an authorisation or registration, and Can apply to managers and funds outside the relevant jurisdiction and so are relevant to Asian and Australian managers and funds. The key difference between the EU and US proposals is that the EU proposals are far more onerous and are potentially very protectionist. Read Full Articles on : http://bigcapital.wordpress.com
