LONDON (Bloomberg) - The Alternative Investment Management Association, the largest trade group for hedge funds, recommended changes to proposed European Union (EU) regulations that it described as "unworkable" earlier this year.

The association published recommendations on its website, according to a statement today, after being one of the plan's most vocal critics, describing it in April as "punitive" and "hastily prepared".

"There is now a broad consensus among European policymakers that the directive does need a lot of work and that there will be significant revisions," Andrew Baker, the association's CEO, said in the statement. "We can provide useful technical assistance in this respect."

Portions of the draft limiting the amount of borrowing by funds and limits on marketing would have "unintended and potentially damaging consequences", according to the statement. The association supports proposals to require fund managers to register with authorities and report financial information "in the interests of financial stability".