Saturday, 30 August 2014
Last updated 1 day ago
Jan 25 2011 | 1:57pm ET
The biggest hedge funds in the U.S. will face the toughest regulatory burden under a new risk-reporting rule proposed today by the Securities and Exchange Commission.
The SEC unanimously voted to seek comment on the new rule, which would require hedge funds, private equity firms and other private investment fund advisers to maintain a wide range of information for sharing with regulators. The proposed joint rule with the Commodity Futures Trading Commission will be considered by that regulator tomorrow.
The new rule, required by the Dodd-Frank financial regulation reform law, will fall most heavily on firms managing more than $1 billion in assets. SEC Chairman Mary Schapiro notes that the 200 such firms in the U.S. control more than 80% of private fund assets under management.
"The information required would be 'tiered' so that we would receive more detailed information from larger private fund advisers, rather than imposing the same reporting requirements on all private funds," Schapiro said. "While the group of large private fund advisers is relatively small in number, it represents a large majority of private funds' assets."
Those firms will be required to make quarterly reports on assets, leverage, positions, valuation and trading. That information will be shared by the SEC and CFTC with the Financial Stability Oversight Council.
Today's vote opens a 60-day comment period.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...