Subject: File No. S7-17-11
From: Steven L Clyde
Affiliation: Civil Engineer

June 3, 2011

Please do not change the rules for the eligibity of small investors in hedge funds.
This rule change would hurt small hedge funds and help the big ones. Likely many small hedge funds would be put out of business as it would be much more difficult for them to raise sufficient funds.

This rule change would limit many people's opportunity to invest in hedge funds just because they would now fall below the new arbitrary $2.0M net worth rule.