The recommendation that the higher standard of fiduciary duty apply to both groups is intended to "increase investor protection and decrease investor confusion in the most practicable, least burdensome way for investors, broker-dealers and investment advisers," the report said.
But as the number of new venture funds decreases, investors will find it harder to get access.
Despite increases in the level of equity invested in deals, which decreases investor returns, PE firms are facing pressure to exit investments—via IPOs or sales of portfolio companies and return capital to investors.
Certain unique characteristics of the secondary securities market suggest, however, that reducing the marginal costs associated with trading stocks may have the perverse and counterintuitive effect of decreasing investor welfare.
As decreased investor demand for bonds leads to higher yields and higher interest rates, though, I remain convinced that October's stock market decline was the beginning of an extended period of correction for the equity markets after their record-long bull run.
There are much graver implications to our economy from increased market volatility and decreased investor confidence.
Share counts decrease, leaving investors who stick around a larger chunk of the company.
The driving force behind the low real interest rates is the drop in risk premiums, associated with the fall in uncertainty over future policy moves, and the resulting decrease in investors' concerns that euroland governments' will erode their capital through inflation and currency depreciation.
She said the flip side to the convenience may be a decrease in investor privacy and data security.
Despite airlines' announcements of layoffs and decreasing capacity, investors are counting on a little government assistance.
