Venture Capitalists Win: “Venture Capitalists Win”
New Battle Over Status
By ALLISON BISBEY COLTER
From Dow Jones Newswires
“NEW YORK — Venture capitalists have won another battle to retain their largely unregulated status.
Venture capital and buyout firms rely on many of the same exemptions from securities laws as hedge funds, which have been the subject of a 16-month investigation by the Securities and Exchange Commission. Concerned about the rapid growth of hedge funds, the SEC is considering requiring them to register with the agency as investment advisers.”
– It is hard for me to know how to feel about this. While I like the idea that the government is not going to snoop, we are talking about a lot of $$ here. I have come to the conclusion that in the end it is probably better for the business owner that this is not regulated so that the maximum $$ are available in the VC firms to help businesses grow. -ed.