United Arab Emirates amends rules on private placement of hedge funds

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Private placement of hedge funds in the UAE has become easier

An amendment to fund laws in the United Arab Emirates (UAE) exempts foreign hedge funds from registration with the regulator, provided they offer funds on a private placement basis only to qualified investors.

The UAE's Securities and Commodities Authority (SCA) passed the amendment of the Investment Funds Regulations on March 13.

The regulations only came into force on August 27, 2012 but they caused upset among foreign hedge fund managers wanting to distribute to local investors as they made t