News

UNI Global Union has been vigorously working for the last year with the global unions, to advocate for regulation of hedge funds and private equity across the globe. We have taken the case to the G8, G20, the European Union and the Financial Stability Board. The G20 in particular has made it clear that regulation is required. In May, the European Commission handed down its recommendation for legislation to the European Parliament. The debate about the European Commission’s proposed Alternative Investment Fund Manager directive (AIFM) has well and truly begun and the heavy weights opposing the regulation are well prepared. The US treasury has recently expressed it view to European Governments not to go ahead with stringent regulation. Many US private equity firms doing business in Europe will be affected by the regulation if it proceeds through the parliament in its current form.









“U.S. Treasury officials have made their presence felt in the debate by talking with both their counterparts in European governments and European Commission officials in Brussels. The U.S. is also pushing its agenda on regulation in international forums such as meetings of the Group of Seven industrialized nations. Funds have told the Treasury of their concern and are doing their own lobbying in Brussels, and in capitals like London through industry bodies such as the Managed Funds Association, according to a person familiar with the matter.”

UNI will be doubling its efforts with global trade unions and NGO’s to promote a winning case as to why these funds should not be able to continue with ‘business as usual’. The union’s position on the current AIFM directive is that it does not go far enough. Unions are already entering the public debate to argue why regulation is necessary and to oppose the worst of these fund’s practices for the greedy, risk taking, tax avoiding, socially irresponsible investors they too often are. Workers, pension funds, consumers and communities need to be protected from this. These funds have been an integral part of the whole global financial collapse and their denial of this is not acceptable.



The following article from the Wall Street Journal explains the position of the US treasury and where many European Governments currently stand on the regulation.



“US enters Europe’s Fund Debate-Washington Joins U.K. in Lobbying EU for Less-Stringent Regulations”

http://online.wsj.com/article/SB124864567973282125.html