Extension on Hedge Fund Comment Period Sought

The SEC received a formal request to postpone the deadline for comments on new hedge fund regulations to Oct. 28 from Sept. 15. Influential hedge fund providers and business interests have lobbied the Commission for an extension on an expected ruling to increase the amount of regulatory oversight for hedge fund advisors, Dow Jones Newswires reports.
In a 3-2 vote last month, the SEC approved a measure to seek outside comments until Sept. 15 on its proposal to increase its regulation of hedge fund advisors. Business groups opposing the measure requested in a letter received by the SEC on Friday that the comment period be pushed back until Oct. 28.
Investment professionals who oppose new regulations for hedge funds have called the original Sept. 15 deadline unreasonable because many members of influential trade groups are vacationing during the summer. But others note that extending the deadline until Oct. 28 could postpone a decision until after the Nov. 2 presidential election.
SEC Chairman William Donaldson, who has spearheaded the proposal, found support mainly from Democrats within the Commission's five-member voting group but Federal Reserve Chairman Alan Greenspan and Treasury Secretary John Snow have verbalized doubts about the proposal.