The European Commission will make controversial proposals on hedge funds and private in December, the EU executive’s president has stated.
“About actions relating to hedge funds and private equity, Commissioner Charlie McCreevy has told me that we will be able to present those proposals in December,” Jose Manuel Barroso told the European Parliament.
Parliament debated the financial and economic crisis in the light of the Washington G20 summit. Many European Parliament political group leaders stressed the need for regulatory reform in particular credit rating agencies, private equity and hedge funds as well as the importance of boosting lending to small business.
Socialist group leader Martin Schulz said the time had come for swift action, notably on “credit rating agencies, financial supervision, private equity and hedge funds, and executives’ salaries”.
“We are at a crossroads”, said Schulz and he called for stricter monitoring and “a legal ban on certain forms of speculation”.
He looked to the Commission to come forward with proposals as early as December.