Core Viewpoint - Excessive regulation is negatively impacting European financial markets and local fund managers, leading to a preference for passive investing strategies dominated by large U.S. firms [1] Group 1: Impact on European Financial Markets - The head of BDL Capital Management highlighted that the current regulatory environment is detrimental to the competitiveness of European financial markets [1] - Local fund managers are facing challenges due to these regulations, which may hinder their ability to attract investments [1] Group 2: Shift Towards Passive Investing - The regulatory landscape is favoring the growth of passive investing, which is primarily controlled by large U.S. players [1] - This trend may result in a reduced market share for European asset managers as passive strategies gain more traction [1]