Ban on Hedge Fund Advertising to Be Lifted

U.S. securities regulators will meet Wednesday to adopt rules to lift the ban on hedge fund advertising to accredited investors.

The lifting of the ban was introduced in the original JOBS Act, but has not been passed due to disagreement over how such a change might put investors at more risk.

The two other items on the agenda may allay fears about client protection; one addresses the exemption of felons or “other bad actors” from the rule change mentioned above.

Meanwhile, the other other topic of discussion includes amendments to Regulation D, which calls for securities offerings to be registered beforehand with the SEC and also specifies which offerings may be exempted. The amendments may result in greater SEC oversight of the private securities market.