Hedge Funds

Connecticut Attorney General appoints hedge fund taskforce


New York's gubernatorial hopeful Eliot Spitzer isn't the only state attorney general keeping a watchful eye on hedge funds and grabbing headlines along the way. Connecticut Attorney General Richard Blumenthal, whose office investigated the collapse of the Stamford-based Bayou Group, recently formed a taskforce that will aim to make the scores of funds based in the nutmeg state more transparent to investors.

Blumenthal says the level of fund disclosure that will be available to investors through mandatory registration with the Securities and Exchange Commission, starting in February, falls short of what is needed to protect investors from fraud.