Sat, Aug 1, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

New managers may be facing a perfect storm of obstacles

Thursday, May 10, 2012

Bailey McCann, Opalesque New York:

A volatile global economy, political uncertainty in the US and abroad, and an ever expanding list of regulations is creating a 'perfect storm' of obstacles for new managers looking to launch funds according to Richard Heller, Partner at US law firm Thompson Hine and Director of the Hedge Fund Association. The size of new launches is shrinking and new managers are finding a very difficult capital raising environment regardless of their pedigree, conditions which are having a chilling effect on new fund launches and the industry at large. This trend is likely to effect the industry for the foreseeable future despite new allowances like those passed with the JOBS Act.

The JOBS Act repealed a prohibition on general solicitation that typically kept most hedge funds from advertising, but Heller is quick to point out that rules aren't yet finalized. "The JOBS Act is not an out and out panacea, there will still need to be details ironed out even after the rules are released, specifically when it comes to the inconsistencies with private offerings requirements in the existing rules," Heller said in an interview with Opalesque at the SALT Conference.

He explains that advertising will likely be geared around new fund launches, and increasing awareness as medium and smaller size funds try to compete against the Paulson's of the world. However, funds need to be careful, "anti-fraud provisions are still on the books. People a......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Despite bumpy June/July, CTAs hold on[more]

    Bailey McCann, Opalesque New York: To say that things have been rocky in managed futures recently is putting it mildly. In June, the industry saw its worst month on a performance basis in the past four years. Then yesterday,

  2. Investing - Hedge fund billionaires bet on London as revival gathers pace[more]

    From Bloomberg.com: London’s fund industry is bouncing back, and U.S. billionaires Steven A. Cohen and Ken Griffin are grabbing a piece of the action. Griffin’s Citadel and Millennium Management, a hedge fund run by Israel Englander, have bulked up in London, where asset growth is outpacing the U.S.

  3. Other Voices: Same day reporting and the evolving role of fund administrators[more]

    By: Scott Price, Head of Business Development and Client Management for North America, Maitland Ernst & Young’s latest glob

  4. Cowen Group, Inc. to acquire Conifer Securities[more]

    Cowen Group, Inc. and Conifer Securities, LLC had announced the signing of a definitive agreement under which Cowen will acquire Conifer Securities, the prime services division of Conifer Financial Services LLC. The transaction, the terms of which have not yet been disclosed, was approved by the boa

  5. Cargill’s Black River Asset to shut down four hedge funds[more]

    Komfie Manalo, Opalesque Asia: Cargill Inc.’s $7.4 billion Black River Asset Management said it was closing four hedge funds with a combined $ 1 billion in assets and start returning investors money over the next several months, various media said. The hedge funds represent 15% of Black River’

 

banner