Article 17 of the proposed Directive on Alternative Investment Fund Managers is a little-known provision that could force depository banks from the industry because it would have the potential to significantly alter their risk profile. "From an operational-risk point of view, this provision would significantly change the risk profile of our business, and therefore our attitude to the business line would change dramatically," said one operational-risk manager at a depository bank. The European Commission is discussing the directive.

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