SEC proposes two new hedge fund rules

The SEC proposed two new hedge fund rules today. The first is an anti-fraud rule designed to apply to all investment advisers, including unregistered investment advisers. The second increases the net worth requirement for “accredited investors” in certain hedge funds. The SEC has solicited comments on these two proposed rules. The Investment Law Group will have a forthcoming comment on the new rules. http://www.sec.gov/rules/proposed/2006/33-8766.pdf