Fears about the costs and effects of SEC registration may be exaggerated
A recent survey conducted by the Investment Counsel Association of America and the National Regulatory Services indicated that 601 hedge fund advisors are now registered with the Securities and Exchange Commission, a 15% increase from last year. This doesn't mean that hedge funds are anticipating regulation. Most aren't. And most are only registering because they have to, meaning they no longer meet exemption rules.
However, the increase in registration does prove that the process is pretty painless and all the signs are that it is going to get