May 8, 2007
HP-393

U.S. Treasury Deputy Secretary Kimmitt Statement on the E.U. Economics and Financial Affairs Council Conclusions on Hedge Funds

Washington, D.C. - The E.U. Economics and Financial Affairs Council, meeting in Brussels today, reached a consensus on the policy direction for the European Union regarding hedge funds and provided related guidance to the European Commission.  U.S. Treasury Deputy Secretary Robert M. Kimmitt issued the following statement supporting the Council's conclusions:

"The Council's statement today underscores the significant progress this year advancing international work related to the hedge fund industry and in reaching a consensus on the appropriate path forward. Their conclusions will help ensure a productive discussion among the G-8 finance ministers in Potsdam this month.

"These findings demonstrate that the European Union and the United States share consistent approaches to monitoring these investment vehicles. In particular, the Council's conclusions demonstrate convergent views on the benefits of hedge funds in promoting efficient and dynamic financial markets and the important role all actors play promoting financial stability and protecting investors. This approach mirrors the philosophy of the Principles and Guidelines issued by the U.S. President's Working Group on Financial Markets in February."