Subject: File No. S7-30-04
From: Joel Harary

September 15, 2004

I am writing in opposition to the the SEC proposal requiring hedge fund managers to register under the Investment Advisers Act. I agree with the statements of Federal Reserve Board Chairman Alan Greenspan opposing the requirement.

Any potential benefits to the American public would be far outweighed by the costs to be borne by us as taxpayers. The SEC has not cited any real evidence to show that fraud is any more prevalent in the hedge fund industry than elsewhere. Scarce governmental resources should be devoted to protecting those of us who invest in mutual funds rather than the wealthy and sophisticated individuals and institutions who invest in hedge funds.

I believe that the proposed rule requiring hedge fund managers to register should be withdrawn.