Global Regulation of Alternative Investments

Free CAIA Level II lesson in Universal Investment Considerations. 31 min read, ~4,632 words.

Securities regulation rests on three principles: transparency, market integrity (fundamental fairness), and rule-of-law protection; information asymmetry and systemic risk are the market failures they address. Alternative-fund regulation takes four forms: establishment, distribution/marketing, operation, and reporting requirements. United States: the fund escapes the Investment Company Act via 3(c)(1) (caps owners at...

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