Lawmakers and regulators are increasingly putting hedge funds in their sights. To better explain to Washington what the firms do, Investing in Opportunity was launched. In a Bloomberg article, Robert Schmidt details the campaign’s effort to highlight the impact of hedge funds. Key excerpts can be found below.
“Hedge funds are facing renewed scrutiny in the wake of the 2020 election when Democrats took control in Washington, giving power to progressive critics like Senator Elizabeth Warren. The wild price swings of “meme stocks” like GameStop Corp., and the collapse of Bill Hwang’s Archegos Capital Management have also underscored the risk the industry faces on Capitol Hill. President Joe Biden’s council of financial regulators has signaled a sharpened focus on the funds, as well.”
“The bury-your-head-in-the sand approach doesn’t work today,” said Bryan Corbett, president of the Managed Funds Association trade group. “We haven’t done a great job demonstrating our impact beyond Wall Street, and through this campaign we’re looking to start telling this story in a sustained way.”