PE industry challenges SEC over new fee disclosure rules

The Securities and Exchange Commission’s (SEC) recent move to mandate increased disclosure of fees and other costs by private equity funds has sparked a legal battle with the PE industry. Lawyers representing both the SEC and the PE industry engaged in a heated argument in a US federal court in New Orleans.

SEC’s hefty fines contrast with Europe’s mild approach

The U.S. Securities and Exchange Commission (SEC) in 2023 continued to demand significant recoveries from financial institutions, although investment advisers were less frequently targeted. The year also witnessed the introduction of fines related to WhatsApp use and a record payout to whistleblowers.

‘Basel Endgame’ in US seen supporting private credit

While Wall Street is pulling out all the stops to curb ‘Basel III Endgame’, private lenders are in pole position for implementation of the banking rules. The price at which US big banks can borrow money will be skillfully undercut by private credit funds, but critics in the banking sector denounce the lack of effective supervision of the ‘non-bank’ lenders.  

Transfer Thursday: M&G, Oraxys, Kroll, Crestbridge, Julius Baer

This week’s overview of transfers, appointments, promotions and other people news includes updates from M&G, Oraxys, Kroll, Crestbridge and Julius Baer.

Kelly Hébert

Kelly Hébert (photo) has been appointed as head of France at M&G Investments, in parallel to her role as head of Belgium and Luxembourg. She replaces Brice Anger, who has decided to leave M&G after a 16-year career with the company.

Brussels expects more clarity on Eltif RTS in ‘next weeks’

The European Commission expects to provide more clarity on the proposed supervisory standards for Eltifs, Europe’s new long-term investment funds, in the coming weeks, an EU official said on Tuesday.

In response to questions by Investment Officer, the official confirmed the Commission is currently considering the draft regulatory and technical standards under the updated regime for Eltif funds. The standards, known as ‘RTS’, were proposed a month ago by the European Securities and Markets Authority, Esma.

Eltif 2.0: Industry urges EC to adopt ‘correct’ standards

The trade association representing Europe’s fund and asset management sector has urged the executive body of the European Union to ensure that the correct technical standards are introduced. These standards are regarded as vital for the success of the new regime for European Long Term Investment Funds, known as Eltif 2.0.

LPs become more demanding as dry powder grows

In the private equity (PE) market, a significant shift is occurring as Limited Partners (LPs) increasingly demand the release of funds from older investments before considering new commitments. This change comes amidst a backdrop of unprecedented levels of “dry powder” - uninvested capital within PE firms.

‘Stunted’ EU fund sector requires more diverse investor base

European financial services had witnessed a marked decline in global market share over the past 15 years, particularly within the asset management sector. While reviewing the competitiveness of Europe’s financial sector, OMFIF and Luxembourg for Finance have identified Europe’s strengths and weaknesses.