Jeff Benjamin reports, the majority of hedge funds based in the United States are voluntarily registering with the Securities and Exchange Commission, according to Hedge Fund Research Inc. in Chicago and InvestmentNews.com.
Almost 55% of more than 2,000 United States-based hedge fund firms are registered with the SEC as of last Friday despite a lawsuit two years ago that overturned a rule requiring hedge fund managers to register as investment advisers.
"It's tough to speculate on exactly why these firms are registering beyond that they certainly feel it is beneficial to be able to show clients they are registered," said Kenneth Heinz, president of HFR.
Is your firm registered? What made the decision for you register or not to register?