Subject: File No. S7-30-04
From: Gregory J Bazarian

September 15, 2004

I believe the SECs proposal to directly oversee hedge fund managers is misguided. Among other negative consequences, the burdens of this new rule will discourage talented investment managers from starting new hedge funds in the U.S. and will deter non-U.S. managers from offering their funds to U.S. investors. As a result, U.S. investors will lose access to potentially lucrative investments in exchange for a highly speculative set of regulatory benefits that they have not sought.

Recent labor reports for Connecticut stated that hedge funds are the fourth largest industry in Fairfield County, my county. The proposed regulation would restrict and limit further hedge funds from forming reducing job growth in my state.