No financial player will be exempt from regulation and oversight, said European Commission president Jose-Manuel Barroso in a letter to socialist lawmakers, including both hedge funds and private equity. This position may stand in contrast with EU internal market commissioner Charlie McCreevy's earlier statements that private equity funds, unlike hedge funds, do "not pose any significant risk to financial stability."

Full Story: Private Equity Funds Must Be Regulated, Says EU, Financial Times (Jan. 14, 2009)