Hedge Fund Valuation Issues Investigated By SEC

Hedge fund valuation methods must be fair and investors should be allowed to exit the fund unimpeded, the Securities and Exchange Commission seems to be saying. The SEC is increasingly focusing on how hedge funds value investments to ensure that wealthy individual investors and pension funds are receiving fair treatment, with RD Legal Capital the latest of several examples.

SEC investigating RD Legal Capital on hedge fund valuation issues of and performance fees

Citing people familiar with the matter, the Wall Street Journal’s Rob Copeland and Aruna Viswanatha reported the SEC is investigating if RD Legal Capital LLC artificially inflated the value of obscure investments in legal settlements and...