Doc of the Day: Outlook For Hedge Funds

This roundtable discussion, hosted by Financier Worldwide and featuring Thomas Devaney (capital markets partner at Morrison & Foerster), provides an insiders’ look at key issues facing funds in 2012. One such issue, according to Devaney, is a more assertive Securities and Exchange Commission:

“… A potential external stimulus, that would have a big impact on investor leverage, could be more assertive SEC action on side letters. If the SEC seeks to force fund manages to disclose all side letters, and further requires that investors, including smaller investors, be offered withdrawal rights if they are not permitted to benefit from terms being made available to larger investors, the effect of empowerment of smaller investors could result in more significant changes to fundamental terms and conditions.”

Read the full update, Roundtable: Outlook For Hedge Funds – January 2012, by Morrison & Foerster LLP»