CNNMoney.com- Hedge funds will come under scrutiny next week when two separate House panels hold hearings on the government’s oversight of the lightly regulated industry.
House Financial Services Committee Chairman Barney Frank, D-Mass., on Thursday said he will hold a July 11 hearing on hedge funds to learn how federal overseers “monitor systemic risk related to hedge funds and how that process might be improved.”
A separate July 11 hearing planned by a subcommittee of the House Oversight and Government Reform Committee may yield more pointed questions. Rep. Dennis Kucinich, the Ohio Democrat who chairs the subcommittee, told CNBC last month that “when you have this huge amount of capital that is unregulated, there is a potential that investors could end up losing mightily because no one asks.” He said that “we’re going to be asking the questions about should hedge funds be more tightly regulated and what are the issues involved if they are?”
