Compliance Solutions for Investment Advisers

SEC sifts through Hedge Fund Data to Identify Risk

The Securities and Exchange Commission received disclosure from hundreds of hedge funds and other private money managers detailing their investors, funds, brokers and other information. The SEC is looking through the data in search of risky behavior. “Pick your fraud of the day, and the question is, ‘Can we extract information from this data system together with the other databases we have access to and home in on problems before they do damage?’ ” said Robert Plaze, the SEC’s deputy director of investment management.

 

line