Effect Of The Financial Reform Bill On Alternative Investment Firms
Metropolitan Corporate Counsel, August 2, 2010
By: Michael S. Maglio
Both in terms of tax reform (yet to be determined) and financial markets reform, alternative investment firms will face a new set of standards that will have a major impact on the firms, their principals and the investors in such funds. Hedge funds and private equity funds will be impacted by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which includes the Private Fund Investment Advisers Registration Act of 2010. This legislation requires many investment advisers and hedge fund managers to register as investment advisers with the SEC. It may also result in some investment advisers and hedge fund managers that are now registered with the SEC to register at the state level.