Hedge Fund Managers Tell Congress They See Need For Tighter Restrictions

Five prominent hedge fund managers testified Thursday before a House committee that they supported some additional regulation of their industry.

The managers -- Philip A. Falcone, Kenneth C. Griffin, John Paulson, James Simons and George Soros -- all said they would support rules that required hedge funds to provide information about their funds to a regulator, provided the information was not divulged to the public.

Their support of greater disclosure represented a significant change for an industry that has historically fought more regulation. But the managers, who were paid on average $1 billion last year, varied in their support of regulation. Mr. Soros, well-known for his liberal views, was the strongest supporter of rules to reign in the nearly $2 trillion industry. Mr. Griffin, the founder of Citadel Investment Group, was the most hesitant, saying that additional regulation was not needed but that he would "not be averse" to some additional disclosure that would not be made public.

Read the whole story here.

Comments

[PT6]

The only way to make PROGRESS is TO PUSH THE BUSH GANG ASIDE!

End the BUSH GANG"s RULE NOW or we will NEVER be able to Recover!

THE BUSH GANG is USING this CRISIS to FEED the Corrupt Banks so they can BUILD FINANCIAL EMPIRES with NOT simply SUPER BANKS but MEGA BANKS!

We must insist the BUSH GANG STEP ASIDE and let a new Team Take Control to save America and the World!

We are headed toward more control by the RICHEST people in the World!

The BUSH GANG is creating the "CORPORATE RULERS of the WORLD!"

ALSO: When is Bernake going to give a FED report on who received the $2 to $3 Trillion he has allocated? Does he answer to America or does he run a separate country?

Can we trust the FED anymore to have America's and the world's success as its goal?

65 Days is too long to let us all be DRIVEN INTO A DEEPER HOLE!

[LucusT]

Now that they screwed the pooch they think regulation may be in order. Why not before?

[Ningnang]

Elijah Eugene Cummings also stated that these five prominent hedge fund managers are paying a 15% tax, half the tax rate that many fireman, teachers, middle America, etc. pay ...WTF?

[ErnestineBass]

Warren Buffet recently pointed out that while his secretary is taxed at a 33% rate, he himself only pays 15%. There's something not quite right about that, is there?

[sposton]

That is what we heard from the rest of those bozos for years and see what's happened. They make billion dollars per years but when their companies tank they want us to bail them out without touching their billions. Economic disparities these people promote will eventually make this country inhospitable to wealthy people. Is that what these cretins want? No amount of Blackwater goons will be able to save them from angry mobs. They will have brought it all onto themselves. What's happened to disinterested service and noblesse oblige?

[luke150]

Whom are you talking about? Do you know what a hedge fund is? They have nothing to do with the investment banks that asked for bailout. No hedge fund has asked for a bail out, they risk their capital, and when they lose, they are gone.
Read, people, read more. Witch hunts are always executed by illiterate folks.

[sposton]

For us illiterate people they are all the same. And you are telling me there are subtle differences amongst crooks? ;-)

[mrcontinental]

Long-Term Capital Management... ring any bells?

[ErnestineBass]

Speaking of the need to read...NOWHERE in sposton's comment did I see the words "hedge funds".

If you're going to talk it, bub, you better be able to walk it.

[sposton]

November 18th: "Paulson's Conversion: It's Time To Regulate Hedge Funds" I wonder why! An illiterate mind wants to know. ;-)

[mrcontinental]

And deers don't see a need for a longer deer season.

And college athletes don't see a need for tougher academic standards.

And republicans don't see a need for more taxes.

And drug smugglers don't see a need for tighter borders.

You get the idea...

[Invox]

If you're lookin' for a real blood boiler, be sure to check out the piece on Bailout Junkets here on HuffPo this evening.

[pinkc4]

i read that shizz

[PT6]

Yes it is very important to help the RIch use every tool, legal and illegal, to make the RICH RICHER!

[HoraceOvidson]

Hedge funds: an absolutely necessary component of ogoloply crony capitalism. They have made life so much better for me. I celebrate, you, hedge funds, each day of my existence.

[hollyeve]

Oh yeah... now they want regulation but only if it isn't made public... not hiding anything are you???

It's time for the public to know the truth, put our big panties on and deal with it! Better sooner than later... it's the only real way to fix this mess.

[OGWiseman]

Can you imagine another industry where this is how it worked? A long-haul trucker falls asleep at the wheel and drives his truck off the road. His company calls him in and says "Do you think we should change anything, or is that unfair? Should we just keep letting you do exactly the same thing you were doing?" And the trucker says with a straight face "Well, perhaps there is something we could do, as long as it's within reason. I won't accept anything crazy here." Uhh...can't see it going down that way. Here's a message for Congress: GROW A PAIR OF BALLS AND USE THE POWER YOU HAVE BEEN GIVEN TO PROTECT THE PEOPLE WHO GAVE IT TO YOU!!! THE REPUBLICANS HAVE BEEN SCREAMING ABOUT DEREGULATION FOR YEARS AND HAVE BEEN PROVEN WRONG!!! GET YOUR ASSES IN THERE AND STAND UP FOR YOUR PRINCIPLES AND WHAT'S RIGHT BEFORE IT'S TOO LATE!!!

[chris2fer]

Ooops the GOP is caught with their pants down.

[darthdarcy]

Why are we even debating this we need tight strict regulation of our markets with oversight and strong enforcement as well that is self evident...the proof is in the pudding..!

[Keith52]

"We are so dishonest we can't even see when we are being dishonest and greedy. We need a mommy." Jerks.

[Beninn]

What's the hold-up here? Why hasn't this been done already? This is insane.

[dadw5boys]

They want tighter restrictions to protect their profits but none to protect consumers.