Todd Cipperman is the founder of Cipperman Compliance Services, which provides compliance consulting to funds, advisors, and broker-dealers. In a Q&A with Money Management Executive, he speaks about FINRA's impact on mutual fund and ETF managers and the regulatory body's influence on alternatives and closed-end funds.

FINRA defines alternative mutual funds as any registered fund with a non-traditional investment or trading strategy including fund-of-funds, hedging, derivatives, long/short, opportunistic and absolute return. The regulator has warned that alt funds may be less transparent, carry additional risk, impose higher fees, utilize inexperienced managers and have limited performance histories. What's your take?

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