Forming the E.U. was a massive undertaking that touched on many areas of society, and attempts to unravel the U.K.’s role in that union are proving no less complex. Brexit is forcing the E.U. and U.K. to decide where they respectively stand on issues such as environmental, social and governance investing; capital markets; cross-border marketing; and public markets trading. Unfortunately, there is no single, obvious path forward, as some U.K. fund managers want the bodies to adopt substantially equivalent regulations while others view it as an opportunity for the U.K. to develop more advantageous or efficient approaches. Those were addressed in a panel at ACA Group’s Spring 2021 Virtual Conference featuring Darren Fox, partner at Simmons & Simmons; Adam Jacobs‑Dean, managing director of the Alternative Investment Management Association; and Robin Meister, the former global head of U.S. regulatory affairs at BNP Paribas Asset Management. This second article in a two-part series details the potential divergence of U.K. and E.U. regulatory regimes in the aforementioned areas. The first article outlined the current state of play in U.K./E.U. relations and financial services arrangements; the immediate impact of Brexit on cross-border marketing; and upcoming U.K. policy developments. See “Travers Smith Attorney Simon Witney Forecasts the Effect of E.U. Regulatory Developments and the Impending Brexit on the U.K. PE Industry” (Nov. 17, 2020); and “Distribution, Fundraising and Regulatory Environment in Luxembourg and the E.U.” (Apr. 14, 2020).