Monday, April 27, 2009

Update: Connecticut Softens Proposed Fund Regulations

We previously reported on the proposed regulation of private investment funds in Connecticut, including Raised S.B. Bill No. 953 (An Act Concerning Hedge Funds) . Recently, members of the Banks Committee in the Connecticut legislature advanced a revised bill mandating the disclosure of certain conflicts of interest by investment advisers. This revised bill proposes less onerous reporting requirements than had been included in the original draft, omitting the requirements for disclosure relating to investment strategy changes, key personnel departures, the existence of side letters, the fee schedule to be paid, and the disclosure of audited financial statements.