The US Treasury Department and the Securities and Exchange Commission have jointly proposed a number of new rules aimed at preventing the use of hedge funds and other investment vehicles to launder money or fund terrorist activity, according to a report by Bloomberg.

The authorities said on Monday that the joint proposal, which would also apply to private equity and venture capital firms as ell as other money managers, has been promoted by concerns that investment advisers could be used by people outside the country to funnel money into the American financial system.

Under the proposed rules, firms would be required to collect information on the identities of their investors, including their names, dates of birth or date of formation of an entity, as well as addresses. The regulators have asked for public comments on the new joint rule, with the consultation period set to last for at least 60 days, meaning it will be months before any change could be finalised.