“Compliance Officer” is one of the fastest growing occupations, according to the Department of Labor. Its forecast calls for exponential growth in this field, with a projected growth of 31% projected between 2008 and 2018. Expected employment in the compliance field is expected to be 341,000 by 2018. This projection is not specific to the hedge [...]
The allocation of trades has always been an area of concern to hedge funds. The issue is whether a manager is breaching its fiduciary duties by favoring one fund or account over another. The reason this issue is so problematic is that it is so hard to define. For example, consider these scenarios: *If a manager’s funds have different investment [...]
Hedge funds with Massachusetts clients: take note! A new law is going into effect on March 1, 2010 which affects the way you secure your information. Under the new law, entitled “STANDARDS FOR THE PROTECTION OF PERSONAL INFORMATION OF RESIDENTS OF THE COMMONWEALTH “, hedge funds will need to have written, comprehensive information security programs [...]
As the end of the year comes closer, bonuses are increasingly on the minds of Wall Streeters, and in particular, hedge fund employees. With some high water marks not yet recovered from 2008 levels, and the markets still not favorable for many strategies, dividing up the hedge fund bonus pool (if any) for 2009 will surely be a [...]
The expanding pay-to-play probe of hedge fund “placement agents”, in combination with the central role that these intermediaries had in the Madoff scandal, is beginning to lead the hedge fund industry and its investors to focus as never before on their exact role and qualifications. Whereas in the past, funds may have left the business of raising money to such agents without much inquiry into [...]
At a recent industry conference, the 2009 priorities of the SEC’s Office of Compliance Inspections (OCIE) were detailed by chief counsel John Walsh. Hedge funds need to pay particular attention to this list, as there are many items on it that directly relate to typical hedge fund activities. Here are some highlights: 1. Custody and Control [...]
JG ADVISORY SERVICES ANNOUNCES THAT THE PWG TECHCHECK©; ONLINE BEST PRACTICES ASSESSMENT TOOL FOR HEDGE FUNDS BASED ON THE PRESIDENT’S WORKING GROUP REPORT NOW REFERENCES HFSB STANDARDS JG Advisory Services LLC announced today that its online, self-assessment checklist based on the Report of the Asset Managers’ Committee to the President’s Working Group (PWG) on Financial Markets now [...]
It may not be front page news, but states are becoming more active in the regulation of hedge funds, stepping in where there is a perceived lack of action from the federal government. From blue sky laws to registration provisions, the states have always been “in the mix”, but now we are seeing an increase [...]
Q: If hedge fund compliance professionals could roll back time and make one form of technology disappear, what would it be? A: Clearly, without question, hands down: email (and its cousin, instant messages) No matter how many warnings and explanations are given, the spate of wacky, stupid and worst of all, self-implicating, emails and IM’s by [...]
In a year when the financial services industry is experiencing a monumental restructuring on all fronts, we have selected these four highlights for hedge fund compliance in 2008. #1 The Bernard Madoff Alleged Fraud. By far and away, the #1 highlight. As the story unfolds, and we learn more about exactly how this ponzi scheme [...]
