International Issues: Positioning U.S. Private Equity Firms and Funds in Global Markets
The AIC is the voice for private equity in the United States, but we also work to ensure U.S. private equity firms and the funds they manage receive fair treatment in other countries. We agree with the U.S. Treasury Department that a core principle of U.S. regulation should be to advance American interests in international financial regulatory negotiations. Moreover, “U.S. engagement in the [Financial Stability Board] and international financial regulatory [standard-setting bodies] remains important to . . . level the playing field for U.S. financial institutions, and prevent unnecessary and overly burdensome regulatory standard-setting that could stifle financial innovation.”
In particular, we encourage the SEC to ensure that the Financial Stability Board and the International Organization of Securities Commissions continue to recognize that private equity firms and funds are not sources of systemic risk. We also believe the SEC should encourage European regulators to allow U.S. private equity fund sponsors to have access to European investors and markets with flexibility, through “passporting” and retention of national private placement regimes.
