Regulators have said Algebris Investments, the London-based hedge fund agitating for change at Generali, may not own more than $920m (€640m) or about 2% of the Italian insurer's shares, meaning it will have to persuade more shareholders to support its motion.

Consob, the Italian securities regulator, asked Algebris to state its maximum potential investment in Generali late yesterday evening, following an incorrect newswire report that it could buy up to €6bn in the insurers' shares, which would have implied a holding of more than 13% at today's share price.