Hedge funds may reap rewards from regulatory shift (FundFire)

Hedge fund managers are poised to benefit from changing views by regulators and policymakers about alternative assets. In the lead comments, Amy Lynch, FrontLine’s Founder and President, states that a new tone at the SEC under the Trump administration could usher in a period of “boom years” for hedge funds. She explains that the expected loosening of the reins on regulations could create market enthusiasm for alternative assets where innovative ideas can be more readily pushed forward. Ms. Lynch notes that hedge funds work very well in that kind of environment. But despite the potential change in approach by the SEC, examinations of hedge funds and other private fund managers are expected to continue in earnest, with several historical and emerging hot-button areas focused on these firms. These could include conflict of interest disclosures, off-channel communications, cybersecurity and artificial intelligence (AI). See FundFire (subscription required), “Trump Shift on Regs Could Spark ‘Boom Years’ for Hedge Funds”