Finra And Hedge Funds

Discussion in 'Professional Trading' started by anoninnyc, Jun 1, 2013.

  1. anoninnyc


    I live in NYC

    HI All,
    My questions are ONLY regarding FINRA’s level of regulation over Hedge Funds.

    I’m going to exaggerate the details of my situation/predicament, to avoid airing out my own dirty laundry on the internet.

    Details of my situation:

    1. I was convicted of a finance-related felony 1 year ago. I served no jail time.
    2. I want to work at that hedge fund in the capacity of a trader.
    3. I’ve spent 8 years getting a PhD in financial engineering, and am well-equipped to work as a “quant” at a hedge fund.
    4. My father is close friends with a hedge fund Manager who hires a lot of quants. So close, in fact, that the hedge fund manager is willing to overlook my past.

    The only regulatory body I know that could preclude me from working in finance is FINRA and FDIC. I know a hedge fund is not an bank, so I reckon I only have to worry about FINRA.

    My questions to you all:
    1. Given my goals and predicament, DO I have to worry about FINRA? (Y/n)
    2. Does Finra currently regulate Hedge Funds to the extent that they preclude Felons from working as Hedge fund traders? (y/n)

    If so, could you provide me with a link or two to where this is enumerated?

    3. If I don’t have to worry about FINRA , what other regulatory agencies might I have to worry about in my situation?

    Anon in NYC
  2. 1245


    If you're not barred from the industry by FINRA or the SEC, and they are willing to hire you, I don't see any issues. There are some rules that require a hedge fund to register with the SEC, however I don't think general employees have to. If their compliance officer is not worried, go for it. No one else will hire you with your background,.
  3. :eek:
    I seriously thought that demonstrating so early on some patterns of dishonesty would get his private message flooded by offers... then I realised he got caught, and that makes all the difference.