Hedge Funds Under SEC Spotlight in Expanding WhatsApp Crackdown

The SEC earlier this month fined Senvest Management LLC, a New York hedge fund, $6.5 million. It was the first time the agency has brought a case as part of its messaging app enforcement against a standalone investment adviser.

The move comes amid similar crackdowns against banks — and even the SEC’s own employees last week, after the agency banned third-party messaging apps from work mobile phones.

It’s a harbinger of increased scrutiny around the records of private equity and hedge funds, which usually register with the SEC as investment advisers, attorneys say.

Source: Hedge Funds Under SEC Spotlight in Expanding WhatsApp Crackdown