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Hedge Fund Biz Eludes Most Law Firms
With trillion dollar bills in their eyes, law firms would love to fill their pockets with fees generated from hedge fund business.
With trillion dollar bills in their eyes, law firms would love to fill their pockets with fees generated from hedge fund business. But, alas, as The American Lawyer reports, that tantalizing dream may be out of the reach of most. Aside from the fact that only a few firms have cornered the HF market, most notably Schulte Roth & Zabel, which has been serving hedgies for eons, there is no simple way of enjoying a big payday. Basic hedge fund formation may garner a fee $30,000, and there just arent that many happening. Whats more, for a lawyer to be a formidable player in this market, he or she has to wear many hats as an expert in tax, securities, ERISA, derivatives and litigation. The payoff for those legal early birds in the HF market has been like winning Lotto for Lawyers, The American Lawyer states, as they handle not only hedge funds regular business but also their lucrative investments. Incidentally, one of the longtime law firm players, Seward & Kissel, handled the formation of the very first hedge fund in 1949, AW Jones & Co.