Of the 100 largest hedge fund firms by assets under management, 65 are registered with the Securities and Exchange Commission, according to a study by Adviser Compliance Associates. 23 of the 65 have registered since the SEC rule went into effect in October 2004, the study finds. The assets under management estimates were taken from last year's Alpha magazine survey.
"I would say that it is a bit less than expected," Jeffrey Morton, partner at the Washington, D.C., consulting firm said of the amount of managers who had registered. Morton was originally expecting about 75%, he added. The percentage of registered firms increases with the largest managers. Of the ten biggest, eight are SEC-registered with GLG Partners and Citadel Investment Group the two holdouts. Seventy-six percent--38 of the top 50--are registered.