Hedge Funds

SEC staff mull raising asset bar for hedge fund registration

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The staff at the U.S. Securities and Exchange Commission has been discussing the idea of raising the asset bar for hedge fund registration as a way to ease its own administrative burden.

A rule adopted last fall requires that hedge fund managers with $30 million or more in assets register with the SEC as investment advisors as of February 1, 2006. At that time, the SEC could be flooded with registration documents from thousands of fund managers, and is widely seen as unprepared for such a task.

On October 25, Lori Richards, director of the Office of Compliance Inspections