Regulation

UK trade minister Mark Garnier said on Wednesday the UK is likely to lose its financial passporting rights as a result of Brexit, but research suggests the alternatives industry would be relatively unscathed.

Industry players predict closing the carried interest loophole will be an immediate priority for the incoming US president.

In the world of private equity, Trump supporters are keeping their preferences to themselves for fear of upsetting investors.

The Chief Secretary to the UK Treasury David Gauke praised the work of the private equity industry in an address to LPs and GPs in London on Thursday.

The former Park Hill partner - who pleaded guilty to defrauding investors of $38.5 million – has been permanently banned from working in the private equity industry.

The vote follows threats from the Obama administration to veto the Investment Advisers Modernization Act.

The AB-2833 bill, which imposes more requirements on California-based public pensions to disclose private equity fees, was introduced in February, and passed last week.

Ludovic Phalippou, a finance professor at Oxford’s Said Business School, says the FCA is failing in its fiduciary duty to ensure investors get a fair deal.

UK private equity firms in fundraising mode should expect investors to quiz them on the potential impact of Brexit on their structure, investment strategy, and returns, and prepare accordingly, lawyers say.

A $2.3m penalty enforced by the SEC this week follows some $11.8m in management fees and interest that the firm has already returned to investors.