skip to main contentskip to popular page linksskip to main navigation links
photo of Mike Capuano Michael E. Capuano representing the 7th district of Massachusetts in the U.S. House of Representatives Go to the House of Representatives homepage
Like Mike on Facebook Visit Mike's video channel on YouTube Like Mike on Facebook


 My Schedule My Voting Record District Maps Register To Vote FAQ Site Map e-Updates
Print Version-Capuano, Castle Bill Would Improve Oversight of Hedge Funds


Capuano, Castle Bill Would Improve Oversight of Hedge Funds

Requires money managers to register with SEC

January 27, 2009

Washington, DC — Today, Reps. Mike Castle (R-DE) and Mike Capuano (D-MA), introduced bipartisan legislation that is intended to close a loophole created in the Investment Advisors Act of 1940, which exempts hedge fund managers from registering with the Securities and Exchange Commission (SEC) if they have less than 15 clients. The Hedge Fund Managers Registration Act, would require anyone who manages hedge funds to register with the SEC, and therefore improves federal oversight of these investments.

"This measure would require all hedge fund managers to register with the SEC so that their actions on behalf of investors are transparent," said Rep. Capuano. "I have long advocated this simple step as a way to better understand how hedge fund managers are operating, and how they are investing the resources of their clients. In addition to providing us with basic census information on hedge funds, this measure can be used to detect and deter fraudulent practices and risky behavior before it's too late."

"Hedge funds are a $1.5 trillion industry that account for roughly 30 percent of U.S. stock trading, but also have tremendous presence in other areas of our markets. Without greater attention and oversight to protect investors from fraud, hedge funds pose systemic risk to our economy," said Rep. Castle, senior member on the House Financial Services Committee. "As we work to help regain our economic health, I believe we can and should scrutinize money managers more carefully and begin to reclaim some order in equity markets. I am hopeful that this legislation will work as a tool to help protect investors from becoming victims. This is the first in a series of reforms I intend to strongly advocate in the coming months."


Contact: Alison M. Mills (617) 621-6208
Contact: Stephanie Fitzpatrick (202) 225-4165 (Rep. Castle)

Home | About | Biography | Contact | Issues | Links | News | Schedules | Services

E-Updates | Site Map | Privacy Policy | Accessibility

110 First Street
Cambridge, MA 02141
P: (617) 621-6208
F: (617) 621-8628

Roxbury Community College
Campus Library
Room 211

Stetson Hall
Room 124
6 South Main Street

  Constituent Services Click to close menu
  Casework and Assistance
  Immigration Casework
  Grants and Federal Domestic Assistance
  Presidential Greetings
  Washington, D.C. Attractions
  U.S. Service Academy Nominations
  Media Center Click to close menu
  Recent Votes
  Video and Audio
  Legislative Work Click to close menu
  Recent Votes
  Voting Record
  Sponsored Legislation
  Earmark Requests
  Committees and Caucuses
  Ethics Task Force
  Schedules Click to close menu
  My Schedule
  House Floor Summary
  Weekly House Schedule
  Annual House Calendar
  Weekly Senate Schedule
  Our District Click to close menu
  The 7th District Over the Years
  Nobel Prize Winners
  Interesting facts about Massachusetts
  Massachusetts Links
  Links Click to close menu
  Massachusetts Links
    State Government
    About the 7th District
    Arts, Culture and Attractions
    Chambers of Commerce
    Colleges and Universities
    Exploring Massachusetts
    Hospitals and Health Organizations

  Federal Government Links - Official Government Portal
    Legislative Branch
    Executive Branch
    Judicial Branch
    Federal Agencies
    Kids' Pages
    Register to Vote
    Washington, D.C. Attractions
    Business Opportunities with the Government
  Contact Click to close menu
  District Office
  Washington, D.C. Office
  Office Hours Program
  Community Meetings
  E-mail Me