SEC 203(b)(3)-2

SEC examiners require access to records to determine whether a hedge fund adviser is meeting its fiduciary obligations to a private fund under the Advisers Act and rules. The books and records of a registered hedge fund adviser include records of the private funds for which the adviser acts as investment adviser and the adviser or a related person acts as general partner, managing member or in a similar capacity.

In February 2006, Hedge Fund Advisers were required to comply with SEC Rule 203(b)(3)-2. In accordance with the "written communications" rules under the Investment Advisers Act, Hedge Funds were advised to retain all internal and external email and IM business communications.

Smarsh, Inc. assumes no liability for the accuracy or completeness of this information. Please consult with an attorney for specific information on specific rules and regulations and how they apply to your business.

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Documentation on 203 (b) (3) - 2