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Registering Hedge Funds, European Style

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We haven't seen details of this plan yet but it already sounds scary. Apparently the Europeans want to set up some sort of registry that would be updated daily, although it's unclear exactly what kind of information would need to be updated. But, you know, it might not be a bad time to get in the business of advising hedge funds on regulatory compliance.

The European Central Bank (ECB) called yesterday for an international register of hedge fund activity to fend off the possibility of a global financial crisis emanating from the rapidly expanding industry.
The bank’s backing for a central register — which could be updated daily or perhaps more often — came as Germany, which takes presidency of the Group of Eight industrialised nations next year, said that it had received “very encouraging” signals from London and Washington in support of its initiative to increase the transparency of hedge funds.
International regulators have agreed that direct control of the $1,500 billion (£766 billion) hedge fund industry would be difficult to implement and that the highly leveraged funds’ involvement with all “significant” regulated financial institutions, such as banks, should be monitored.

ECB calls for hedge fund register to fend off financial crisis [Times of London]