A short post today to remind hedge fund compliance professionals to pause and reconsider their filing obligations under Schedule 13d or 13g. The Children’s Investment Fund Management case, as well as a spate of other similar cases recently, highlight the need to re-evaluate whether a filing might be necessary based not only on long positions [...]
The SEC has released an interpretative letter indicating that the “cash solicitation rule” contained in Rule 206(4)-3 does not apply to cash payments by a registered investment adviser to a solicitor whose sole function is to solicit clients to invest in a hedge fund. While this position had been widely anticipated in the industry, the [...]
We have developed an industry-leading online self-assessment questionnaire reflecting the President Working Group Asset Manager’s Best Practices Guidelines. The questionnaire asks a series of yes/no questions based on the guidelines presented in the report, and tabulates your own, as well as comparative, results at the end in a pdf output. It allows for comments as well. Of course, the [...]
When hedge funds put up their “gates” on redemptions, limiting the amount or timing of investor redemptions from a fund, compliance professionals need to get their antennae up for potential issues. With gates going up more frequently throughout the industry, it is interesting to see why some managers actually succeed in doing so, and others [...]
Emails and IMs can be dangerous — litigators, regulators and compliance professionals all know this well — yet their use at hedge funds, sometimes in the most casual of ways, continues to expand exponentially. Most recently, we have seen the emails on display in The Children’s Investment Fund litigation related to its CSX investment in which Christopher [...]
As the temperature has been going up in Washington, so has the heat on the CFTC as Congress continues to scrutinize the futures market’s role in driving up oil prices. From a compliance viewpoint, we have been analyzing what additional regulations might result from these hearings. And, some rather interesting tidbits about the CFTC itself have emerged [...]
Antonio Borges, a former Goldman Sachs vice chairman and current chairman of the European Corporate Governance Institute, has been named the chairman of the Hedge Fund Standards Board (formerly the Hedge Fund Working Group). Mr. Borges will now play the role of persuader, attempting to get a significant number of hedge fund groups ”sign on” to the Standards. Let’s [...]
