The Alternative Investment Management Association, the global hedge fund industry trade body, has urged the European Commission to follow the advice of the European Securities and Markets Authority on the controversial Alternative Investment Fund Managers Directive, or risk unintended consequences that will disrupt the European and global asset management industries.

Aima this morning published a 39-page analysis of the European Commission's draft implementing rules for the AIFMD, arguing that the substantial policy differences between the EC text and the advice provided by Esma are both "significant and wide-ranging". It added that if implemented without modification, the proposed EC text could potentially undermine some of the stated policy goals of investor protection and financial stability.