The FCA's 3 September 2026 research note analyses alternative investment funds available to UK investors using AIFMD regulatory returns, separately examining funds managed by UK-based AIFMs.
It finds that the total net asset value of AIFs available to UK investors rose by 30% to £5.1tn in 2025, excluding overseas-managed ETFs.
Over the same period, NAV managed by UK AIFMs increased from £1.5tn to £1.8tn.
Institutional and other professional investors hold 90% of NAV, with retail investors accounting for 10%.
Hedge funds account for a disproportionate share of reported leverage, with median adjusted leverage ratios in 2025 of 812% for macro, 664% for managed futures and 358% for relative value strategies.
The FCA says the analysis has informed its proposals to modernise the UK AIFM regime; the research findings are not themselves new regulatory requirements.
Primary source
Written for Rainmakrr from the source above. The announcement was published 3 September 2026.