Improving standards

The perception of the responsibilities of alternative investment or hedge fund administrators has changed dramatically in the past year or so following the LTCM debacle and, more recently, a number of scandals, the latter of which all appear to have been deliberate fraud perpetuated by the fund managers, who published totally false performance numbers. As a result, two questions are being asked - how could this have happened? and how can it be stopped from happening again? In the case of the first question, with regard to US domestic funds, many do not have an independent administrator and...