Marketplace is community-funded public service journalism. Give in any amount that works for you – what matters is that you give today.
TEXT OF STORY
SCOTT JAGOW: Some $2 trillion are wrapped up in investment pools called hedge funds. They’re mostly unregulated, but some lawmakers want to change that because more average investors are getting into these. Janet Babin reports.
House Democrats agreed. They’re introducing legislation that would force hedge funds to open up their books a bit more to the SEC.
But Georgetown University professor James Angel says Congress is proposing a lot of legislation this week, and hedge fund changes will probably go nowhere. And that’s the point.
JAMES ANGEL:“It isn’t about passing legislation, it’s about positioning before the elections.”
Some hedge fund managers complain about the call for more protections. But Marc Freed with hedge fund managers Lyster Watson tells them to be careful what they wish for:
MARC FREED: “You’re one scandal away from having a worse regulatory regime that you like less than this one.”
I’m Janet Babin for Marketplace.
There’s a lot happening in the world. Through it all, Marketplace is here for you.
You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible.
Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.