Politics & Regulation

Watchdogs begin to growl


Former SEC chairman Harvey Pitt talks to AsiaHedge editor Aradhna Dayal about the implications of the ongoing Goldman enforcement action and how an upcoming regulatory tsunami in the US will affect the Asia-Pacific hedge fund industry

We are already beginning to see reverberations in Asia due to the Goldman action brought by the SEC. What are the key implications for hedge funds?
HP There are a number of potential implications, in my opinion. First, firms engaged in packaging synthetic derivatives and similar transactions (including banks and hedge funds) need to review what they did and how they did it over the past couple of years, and satisfy themselves that they don’t have a Goldman-like problem on their hands or, if they do, to find solutions before