SEC eyes hedge funds for insider trading

The regulator is probing for relationships between managers, employees, family members and public companies.
SEP 18, 2007
By  Bloomberg
The Securities and Exchange Commission is examining hedge funds for signs of insider trading, demanding information about relationships between managers, employees, family members and public companies. Officials from the SEC told hedge funds to list clients or workers who serve as directors of publicly traded companies, along with the names of any relatives who hold such posts, according to a 27-page letter to industry executives that was obtained by Bloomberg News. The SEC confirmed the letter's authenticity to the news agency. The regulator's New York office began using the new examination letter, which is more extensive than previous versions, after lawmakers questioned the agency's record in detecting illegal trading, the report stated. In addition to information about officers and directors, the SEC wants the identities of any relatives who work at brokerage firms, as well as a detailed description of any ``deal'' that a fund manager ``was asked to consider'' and turned down ``because the proposal was deemed inadvisable, inappropriate, unethical, or possibly illegal.'' The letter asks for e-mail addresses and contact information for all parties involved, reported Bloomberg.

Latest News

Advisors expect revenue boost this year as Secure 2.0 provisions kick in
Advisors expect revenue boost this year as Secure 2.0 provisions kick in

Most retirement plan specialists anticipate gain of up to 10%.

Debt has become a way of life for working Americans, report warns
Debt has become a way of life for working Americans, report warns

And they would have to work extra hard to pay it off.

Stock fragility near record levels, stirring memories of dot-com bubble
Stock fragility near record levels, stirring memories of dot-com bubble

BofA strategists highlight rising volatility's risk to largest US stocks.

Is Microsoft debt now safer than Treasuries?
Is Microsoft debt now safer than Treasuries?

DoubleLine PM raises an interesting, if uncomfortable, question.

Judge green lights Trump's federal workers buyout offer
Judge green lights Trump's federal workers buyout offer

Unions can't sue because they are not directly impacted.

SPONSORED Record growth: Interval funds emerge as key players in alternative investments

Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies

SPONSORED Taylor Matthews on what's behind Farther's rapid growth

From 'no clients' to reshaping wealth management, Farther blends tech and trust to deliver family-office experience at scale.