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Hedge funds seek to use Brexit and take advantage of a global deregular drive by urging the British financial guard to give up a request for reporting for the sector.
According to the rules inherited from the EU, the British Financial Behavior body requires that market transactions are reported by both institutions for purchases, including Hedge funds and institutions on the sales side, such as investment banks.
Hedge funds complain that this is an unnecessary multiplication of effort and lobby FCA so that it should no longer follow the EU rules by fulfilling the request for institutions on the side of the purchase of a transaction application.
The sector believes that political winds moved to her favor because the Government of the UK pressure Regulators that will reduce bureaucracy in support of the standing economy of the country.
Donald Trump’s incentive for a corresponding wave in the USA provides additional impetus to calls to reduce the bureaucratic cargo of the City of London.
“The reduction of superfluous and expensive managers for the preservation of regulatory surveillance will improve the attraction of the UK as the global financial service center,” said Bryan Corbett, Executive Director of the Managed Funds Association, which represents many of the largest US HEDGE funds.
MFA announced that “she persuades FCA to remove companies to buy from the extent of transaction reporting, because the double -sided reporting is duplicate, expensive and ineffective.”
The FCA has been hoping for the reporting sector that he will probably reduce reporting rules when he published a trial document in November, saying that he aimed to achieve a “simplified transaction reporting regime, adapted to the UK, reduce the costs for companies and make our market capital.”
Watchdog receives more than 7 billion reports every year transactions made in British financial markets for over 20 million different reporting instruments, such as shares, future, total replacements for refund and trade funds.
The cost of financial companies in the UK reports on such transactions is estimated at more than £ 500m per year, according to a letter sent by the FCA on Friday, sent by AIMA, a local Hedge fund trading body based in London.
Adam Jacobs-Dean, Director General of Aim, said his members “routinely distinguished the reporting of transactions as one of the most significant loads of harmony”.
“We are strongly committed to removing investment companies” shopping “from the scope of transaction reporting requests. . . Based on the fact that the sales companies that these companies are executed in most cases also report these transactions, “he said.
Such a move “would not reduce the quality of information available to FCA or reduce the possibilities of supervision and supervision of FCA,” he said, adding that it would bring the UK in accordance with the US, which does not require companies to report transactions.
Jacobs-Dean also pushed himself against the FCA proposal to expand the reporting requirements outside companies that are in accordance with the so-called Mifid II rules, applying them to private capital and other investment companies that are subject to rules known as AIFMD and UCITS.
In response to the invitation of Sir Keira Starmer at the proposals for growth, FCA said in a letter to the premiere last month that he would “review the proportionality of reporting requests and remove excess yields, initially expected to benefit from 16,000 companies.”
The regulator, which plans to publish proposals for changing its reporting rules later this year, told the Financial Times: “We are advocating to remove unnecessary reporting requirements to support growth, as we have appointed the Prime Minister in the letter.”
