Thu, Mar 28, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
New Managers September 2016

SERVICERS' SPOT: Compliance for smaller hedge fund managers, AlternativeSoft

 

Compliance for smaller hedge fund managers: view from Connecticut Lisa Snyderman

Consultant Lisa Snyderman shares her experience as an outsourced chief compliance officer (CCO), and a few tips for small and new fund managers.

Lisa Snyderman: The US Securities and Exchange Commission (SEC) rules have recently changed; hedge funds with regulatory assets under management exceeding $100 million have been required to register with the SEC since the Dodd-Frank Act. Now many of the hedge funds have to register and be audited by the SEC. So it's a new process for them.

There are two ways to file with the SEC for a new hedge fund. You can go through an attorney who will write your legal documents that are correct but not practical; or you have a compliance officer who does filings from beginning to end and does not charge as much as attorneys do.

Opalesque: What have you observed in your experience working with smaller fund managers?

Lisa Snyderman: I live in Stamford, Connecticut, and in this area there are a lot of small money managers.

What I am finding is that smaller firms don't really have the regulatory experience. Hiring somebody who has the experience can get very expensive, and a small firm might not need somebody full-time. As there are a number of consultants, myself included, who can be an outsourced CCO, a small firm can get somebody with a lot of experience for less money.

I also found that some of the smaller funds are really basic businesses, they just need somebody on an hourly basis to review their filings or update their procedures and help them with an SEC audit. The first time you go through it can be overwhelming and if by some chance two people give a different answer to the same question, you then run into trouble. The SEC regulators need to b......................

To view our full article please login

This article was published in Opalesque's New Managers a top-down monthly analysis, news and research publication on the global emerging manager space.
New Managers
New Managers
New Managers

Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1