Hedge funds push UK watchdog for a post-Brexit cut in reporting rules

Stay notified with free updates

Simply sign up UK financial control MEFT Digest – Directly delivered to your inbox.

Hedge funds are seeking to take advantage of Brexit and Joker, which is a global controlling drive calling for the UK financial surveillance to remove the report requirements for the sector.

Under the rules of inheritance from the EU, Britain’s financial behavior authority needs to report market transactions by both purchased companies and investment banks, including hedge funds, and investment banks.

The hedge funds complain that it is an unnecessary duplicate of effort and is planning the FCA so that it is no longer necessary to follow the EU rules by emptying the need to report transactions.

The sector believes that the political wind has gone to its favor as the UK government is pressing In order to slash red tape in support of the country’s stagnant economyThe

Donald Trump’s U.S. Pushing for the U.S. control wave is providing additional motivation by calling for a bureaucratic burden to reduce bureaucratic burdens.

“Reducing unnecessary and expensive requirements on managers during controlling supervision will enhance the attraction of the UK as a Global Financial Services Center,” Bryan Carbate, chief executive of the Manaded Funds Association, says that representing the largest hedge fund in the United States.

The MFA says that it has called for the removal of purchasing companies from the FCA transaction reporting opportunities, because the dual party report is similar, expensive and inefficient “.

The FCA had hoped that it was likely to reduce the reporting rules when publishing a discussion paper in November, saying it was “It was aimed at achieving a flowing transaction reporting system suitable for the UK, to reduce costs for business and create our capital market More attractive. “

Watchdog receives more than 7 BN reports every year for various reportable instruments in British financial markets such as equity, futures, total returns, total returns and exchange trade funds.

London -based hedge fund trade body on Friday said in a letter sent to the FCA to FCA, that it costs more than $ 500 million a year for UK financial agencies to report this national transaction.

Adam Jacobs-Din, Managing Director of the IMAA, says its members regularly identify the transaction report as one of the most significant compliance.

“We strongly support the removal of ‘by-side’ investment companies from the opportunity to report the transaction reporting. The The On this basis that the sales-back companies also report to those with whom these companies are mostly performing transactions, “he said.

This national step “will not reduce the quality of information available to the FCA or reduce the observation and supervision of the FCA”, adding that it will bring the UK in line with the UK, which is not required for purchasing and offering companies.

Jacobs-Din also pushed against the FCA’s suggestion that it was applied to private equity and other investment companies, subject to the rules known as AIFMD and UCITS, could expand the report requirements beyond the second rule.

Responding to a call for a growth proposal for Sir Care Starmer, the FCA told the Prime Minister last month that it was “Review the proportion of reporting requirements and remove unnecessary returns, initially expected to benefit 16,000 companies.”

The regulator planning to publish the proposal for changing its report rules later this year told the Financial Times: “As we set to our letter to the Prime Minister, we are committed to removing the requirements of unnecessary reports to support growth.”