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In the week ending 01 May, 2015, a study was published pointing out that smaller investors looking to land big hedge-fund and private-equity returns are falling prey to small-time operators. Before Dodd-Frank, hedge funds and private-equity funds with $25 million in assets under management typically had to register with the SEC, while now both hedge funds and private equity can have as much as $150 million in assets before the required registration is triggered.

After the threshold was raised, the SEC shifted the burden of oversight for these smaller funds to often ill-equipped and under-resourced state regulators in New York and other major centers of fund management. Unfortunately, that came with unintended consequences, according to the NY Post.

While the fraud can cut across minnow hedge funds and private-equity funds, it’s the smaller fund operators that have grabbed the limelight recently for fraud and poor management.

Meanwhile, the latest Bloomberg Markets Global Poll came out with the interesting finding that even financial pros choose indexing for retirement savings.

ETFGI said that it expected assets invested in the global ETF/ETP industry to surpass hedge funds assets during this quarter.......................

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