Brussels, 02/03/2010 (Agence Europe) - EU member states' sherpas will try to solve three issues on Wednesday 3 March in relation to the draft directive on alternative investment fund management, based on the most recent draft compromise, submitted to them by the Spanish Presidency of the Council of the EU on Monday. There is a veto minority of countries that oppose the option of countries being able to exempt from application of the directive investors managing assets worth less than €100 million with leverage effect debt, and € 500 million if this technique is not used and the fund does not have to refund the original investment in the first five years. A fund manager not covered by the directive would, however, have to register with the country's supervisor and keep the supervisor informed of his or her main areas of business. Regarding the type of fund depositories, a small number of member states want this to be restricted to banks and investment companies, whereas other member states want other bodies to be included, like central depositories. The Spanish Presidency suggests that member states should allow fund managers from outside the EU to sell their funds to professional investors in the EU as long as they meet certain requirements, like obligations to publish information. Describing this as a protectionist measure, this is opposed by several member states, arguing that the rules that apply to funds managed from outside the EU should be covered by national rules. Other countries have reservations about executive pay policy for fund managers which, according to the draft compromise, should prevent rewarding managers for taxing too many risks by being determined by the funds' performance in the long-term. (M.B./transl.fl)