Farewell, poor Connecticut, we barely knew ye. Next stop: Vegas, baby.
Prompted by the Bernard Madoff investment scandal and other financial failures, Democratic senators called Tuesday for Connecticut to become the first state in the nation to require more disclosure and transparency for hedge funds, private-equity firms, and venture capitalists.
Led by Senator Bob Duff of Norwalk, senators said the move was necessary in order to protect consumers and investors. The bill, which is supported by the Managed Fund Association, states that any firm that is not registered with the Securities and Exchange Commission must still abide by the SEC rules that state that material conflicts of interest must be disclosed to the investors.
"We're not changing the rules. These are the rules the SEC has,'' said Duff, who has been pushing for legislation for three years.
We are looking forward to seeing all the hedge funds move to Nevada. Actually, when you think about it, the convenience factor alone is reason enough to make the move. A lack of proximity to Washington is also a major point for the trip West. Then there are the amazing deals on hotels that the credit crunch has created. And do I even have to mention the ease of parking?
Senate Debates First State Hedge Fund Regulation in USA [courant .com]