Ted Laurenson was quoted in Investment News on September 26 in an article about hedge fund managers exploiting a loophole that allows them to evade regulatory safeguards aimed at protecting investors. Faced with the prospect of registering with the Securities and Exchange Commission as investment advisers, the managers are extending their funds' lockup periods. The rule change, which is scheduled to take effect in February, allows hedge fund firms to skirt SEC audits and inspections by locking up the money of its investors for more than two years. As lockup periods are private agreements between hedge fund firms and investor, there's no way of knowing exactly how many funds are extending them. "There have been noises out of the SEC that suggest they have noticed the trend and they don't like it." said Mr. Laurenson in response to the news.