Well, maybe not this year, but firms with private offerings like hedge funds, private equity and other alternatives can now advertise, as the SEC has lifted its ban under the JOBS Act. More practically, hedge funds will start using social media, websites, conferences and traditional media to get the word out. Experts predict that the very large funds with capital, and the very small ones who need it, will be the most aggressive.
Not everyone is happy — including the ICI, which is concerned that lifting the advertising ban doesn’t afford consumers enough protection. While mutual funds, cap preservation and TDFs dominate the DC world, the lifting of the ban — and other moves by private equity firms — seem to indicate that DC participants will eventually get more exposure to alternatives, which are greedily eyeing the vast pool of retirement assets.
