{"id":47521,"date":"2015-04-15T08:30:17","date_gmt":"2015-04-15T12:30:17","guid":{"rendered":"http:\/\/www.hedgeco.net\/news\/?p=47521"},"modified":"2015-04-15T08:39:40","modified_gmt":"2015-04-15T12:39:40","slug":"sec-to-crack-down-on-the-76-billion-alternative-mutual-fund-market","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/04\/2015\/sec-to-crack-down-on-the-76-billion-alternative-mutual-fund-market.html","title":{"rendered":"SEC To Crack Down On The $76 Billion Alternative Mutual Fund Market"},"content":{"rendered":"<p><a href=\"http:\/\/www.hedgeco.net\/news\/wp-content\/uploads\/2015\/04\/sec-cracks-down-secondary-markets.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright size-full wp-image-47528\" src=\"http:\/\/www.hedgeco.net\/news\/wp-content\/uploads\/2015\/04\/sec-cracks-down-secondary-markets.jpg\" alt=\"sec-cracks-down-secondary-markets\" width=\"330\" height=\"211\" srcset=\"https:\/\/hedgeco.net\/news\/wp-content\/uploads\/2015\/04\/sec-cracks-down-secondary-markets.jpg 330w, https:\/\/hedgeco.net\/news\/wp-content\/uploads\/2015\/04\/sec-cracks-down-secondary-markets-300x192.jpg 300w\" sizes=\"auto, (max-width: 330px) 100vw, 330px\" \/><\/a>New York (HedgeCo.Net) &#8211; Securities and Exchange\u00a0Commissioner Luis Aguilar yesterday stated that the commission is having a closer look at\u00a0the alternative mutual fund market, which grew from about $76 billion in assets at the end of 2009 to over $311 billion in assets by the end of 2014.<\/p>\n<p>&#8220;The growth of this market was fueled by the growing interest in the retail market.&#8221; Aguilar said at the\u00a0annual North American Securities Administrators Association conference. &#8220;An investor&#8217;s constant quest for the next big thing plays right into the hands of fraudsters, who often use the complexity of new products to hide their schemes.&#8221;<\/p>\n<p>The SEC enforcement staff has been busy. In 2014, the SEC worked with criminal authorities to file more than 120 criminal cases; and obtained more than $2.7 billion in disgorgement and almost $1.4 billion in penalties.<\/p>\n<ul>\n<ul>\n<li>State securities regulators received more than 9,600 complaints from aggrieved investors and conducted more than 5,300 investigations;<\/li>\n<li>Regulators undertook about 2,200 administrative, civil, and criminal enforcement actions involving more than 3,000 respondents and defendants;<\/li>\n<li>Reported criminal actions that resulted in more than 1,800 years of incarceration \u2014 the highest in the last five years \u2014 and more than 670 years of probation; and<\/li>\n<li>Imposed more than $600 million in investor restitution orders, and monetary fines and penalties of more than $70 million.<\/li>\n<\/ul>\n<\/ul>\n<p>&#8220;Complex securities&#8221; refer to securities that often involve embedded derivatives and may include equity-indexed annuities, leveraged and inverse exchange-traded funds (ETFs), principal protected notes, and reverse convertibles.\u00a0Complex securities can also include exchange-traded products, or ETPs,\u00a0and alternative mutual funds.<\/p>\n<p>&#8220;The protection of retail investors is paramount and demands immediate attention.&#8221; Aguilar said. &#8220;A bedrock principle of the federal securities laws is that issuers must be prepared to disclose all material risks presented by their securities in a way that investors can understand. Complex products that lack such disclosures run counter to this principle. That\u2019s particularly true when the products are targeted to retail investors.&#8221;<\/p>\n<p>Alex Akesson<br \/>\nEditor for <a title=\"hedge funds\" href=\"http:\/\/www.hedgeco.net\">HedgeCo.net<\/a><br \/>\n<a href=\"mailto:alex@hedgeco.net\">alex@hedgeco.net<\/a><br \/>\n<a title=\"hedge fund\" href=\"http:\/\/www.hedgeco.net\">HedgeCo.Net<\/a> is a premier <a title=\"hedge fund database\" href=\"http:\/\/www.hedgeco.net\">hedge fund database<\/a> and community for qualified and accredited investors only. Membership in <a title=\"hedge fund\" href=\"http:\/\/www.hedgeco.net\">HedgeCo.net<\/a> is FREE and EASY. We also offer FREE LISTINGS for <a title=\"hedge fund\" href=\"http:\/\/www.hedgeco.net\">Hedge Funds<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>New York (HedgeCo.Net) &#8211; Securities and Exchange\u00a0Commissioner Luis Aguilar yesterday stated that the commission is having a closer look at\u00a0the alternative mutual fund market, which grew from about $76 billion in assets at the end of 2009 to over $311 [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12,919,3],"tags":[],"class_list":["post-47521","post","type-post","status-publish","format-standard","hentry","category-hedge-fund-regulation","category-hedge-fund-research","category-hedgeco-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/47521","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=47521"}],"version-history":[{"count":7,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/47521\/revisions"}],"predecessor-version":[{"id":47529,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/47521\/revisions\/47529"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=47521"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=47521"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=47521"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}