Major Canadian banks have joined the chorus of American shareholder advocates in asking regulators to increase regulations for hedge funds, as alternative investments become more popular with individual investors, The Globe and Mail reports.

Gordon Nixon, chief executive officer at Royal Bank of Canada, said the speed at which the hedge fund market is growing throughout North America is cause for alarm. Canadian hedge fund assets reached $11.7 billion (C$14.4 billion) in June, a sharp upturn from $2 billion (C$2.5 billion) in 1999, according to Toronto-based Investor Economics.

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