As expected, on Wednesday, July 21, 2010, President Obama signed the Financial Reform Act, which introduces new regulations for hedge funds and private equity firms. Among other things, the bill gives new authority to the federal government to monitor financial firms that have the potential to pose a systemic risk, and when necessary, seize and wind down troubled financial firms. The greater oversight is helped along by requiring hedge funds and private equity firms with greater than $150 million in AUM to register with the SEC.
Here's a video of President Obama signing the Financial Reform Bill into law.
Hedge Fund & PE Regulation Resources
We've created a Financial Reform Bill Resources page to help hedge funds and private equity firms prepare for registration. The new bill states that advisers must comply with the new provisions within one year of enactment of the conference report. Of course, you can register earlier with the SEC.
Planning Ahead: Technology Requirements for Compliance
Here's a snapshot of what the new regulation means from a technology perspective.
Categorized under: Hedge Fund Regulation