The SEC finds its next target

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The rather esoteric world of compliance has been quietly pushed to the top of the agenda by the Securities and Exchange Commission chairman, William Donaldson, and it has many funds squealing with good reason. The proposed rule will have big consequences for all funds....particularly the smaller ones that will find themsleves footing a pretty hefty bill for their compliance procedures. And, if the SEC has its way, no one will escape the extra red tape because the proposal has become inextricably linked to the SEC's much bigger plan for mandatory registration of hedge funds.

This little noticed compliance rule,