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Socialists warn Barroso over hedge fund regulation  

EurActiv.com – A draft EU proposal to regulate hedge funds and private equity, due to be unveiled next week, was criticised for being too weak by Socialist leaders, who branded the text a "major political mistake" ahead of European elections in June.

The main issue raised by the Socialists was that the proposed regulation will only apply to fund managers, rather than to the funds themselves, creating a loophole in the system.

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