A system and method for managing a domain comprised of a plurality of database systems, wherein each of the database systems performs database queries to retrieve data stored by the database systems. There are one or more virtual regulators for managing the domain and one or more closed-loop system management (CLSM) regulators for managing each of the database systems in the domain. Both the virtual regulators and CLSM regulators perform parallel virtual optimization of the database queries performed by the database systems.