Only 15% of US hedge fund managers AIFMD compliant

Wall streetJust 15% of US hedge fund managers are AIFMD compliant, compared to 82% of European managers. Research by financial information provider Preqin, also found that around a quarter of hedge fund managers from Asia and the rest of the world are AIFMD compliant although 42% based outside the EU are not planning to raise funds within the economic block. A reason cited by 59% of respondents is that they are avoiding the region due to concerns about the directive. Some managers based outside the EU are relying on investors to approach them through reverse solicitation but 38% of US managers have chosen to avoid the EU completely. Most cited compliance costs and risks arising from uncertainty and a lack of guidance surrounding the AIFMD. There has been a change in attitude to the AIMFD according to Preqin surveys, 45% believed the directive will change the hedge fund landscape for the worse in June, while 58% believed this to be the case in December last year. While the majority of UK fund managers are AIFMD compliant, Preqin found that not a single hedge fund manager surveyed thought that the directive would have a positive impact on their firm the coming year. Non-UK EU managers appear to be more in favour of the AIFMD with 55% believing it will have a positive impact. Two-thirds of funds globally reported that the costs of complying with the AIFMD are higher than expected with not a single fund reporting that costs came in lower than anticipated. ©2015 funds europe

Executive Interviews

INTERVIEW: Put your money where your mouth is

Jun 10, 2016

At Kempen Capital Management, they believe portfolio managers should invest in their own funds. David Stevenson talks to Lars Dijkstra, CIO of the €42 billion manager.

EXECUTIVE INTERVIEW: ‘Volatility is the name of the game’

May 13, 2016

Axa Investment Managers chief executive officer, Andrea Rossi, talks to David Stevenson about bringing all his firm’s subsidiaries under one name and the opportunities that a difficult market...


ROUNDTABLE: Beyond the hype

Oct 13, 2016

The use of smart beta investing continues to grow. Our panel, made up of both providers and users, discusses what the strategy actually means, how it should be used and the kind of pitfalls that may arise when using this innovative investment technique.

MIFID II ROUNDTABLE: Following the direction of travel

Sep 07, 2016

Fund management firms Aberdeen and HSBC Global meet with specialist providers to speak about how the industry is evolving towards MiFID II.