Hedge Funds - Securities Law Registration Issues

Three major types of registration issues arise for hedge funds:

1. Does the fund have to register with the SEC as an investment company?

2. Does the fund have to register interests in the fund (e.g limited partner interests) with the SEC as securities?

3. Does the fund have to register interests in the fund with any state securities regulators as securities?

Generally speaking it would be a most unhappy fund that would be required to answer yes to any of the foregoing.  Fortunately, again in general, there are exemptions from registration available in each of the foregoing areas that most hedge funds can be structured to take advantage of.

These exemptions will be discussed in detail in separate articles on this site.