SEC extends registration requirement for hedge funds

FRT Admin
Site administrator
July 7, 2011

The U.S. Securities and Exchange Commission recently extended the requirement for hedge fund and private investment advisors to register with the SEC to March 30, 2012. The new date replaces the previous July 21, 2011 registration deadline, allowing many hedge fund managers who have not yet filed to breathe a sigh of relief. With the extension, hedge funds have the opportunity to fully prepare and implement compliance regulations prior to the March requirement.

The registration rules apply to hedge funds and other private investment funds that manage $150 million or more of assets. Funds that meet this criterion must submit an ADV application by mid-February, 2012, and complete SEC registration by the March deadline. Firms managing between $25 and $100 million will be covered by state regulations, or if not applicable, registered firms will continue to file with the SEC. Funds that are shifting to state filings will have until June 28, 2012 to do so.

Along with other regulations being implemented as a result of the Dodd-Frank Act, the new hedge fund registration opens the door to additional scrutiny of the financial industry by outsiders. Greater examination and accountability of institutional investors is expected to increase the need for firms to provide greater transparency and to show they are meeting their fiduciary responsibilities to investors.

One aspect which is becoming increasingly important is for firms to be able to show that they are recovering all of securities class action settlement funds they are entitled to receive. Service providers like Financial Recovery Technologies (FRT) who handle the filing of securities class action settlement claims, are positioned to help institutions meet these needs and to recover more settlement funds than they typically can recover on their own.

Contact us today to find out how Financial Recovery Technologies can ensure your firm recovers all settlement funds that it is entitled to receive.

Click here for more details about the filing extension in an AdvancedTrading article by Phil Albinus.

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Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.