Managed Accounts

http://www.thestreet.com/_email/markets/hedgefunds/10267663.html

The above link is worth a read, it discusses the use of managed accounts as a way to avoid hedge fund fraud.

There are some interesting operational ramifications regarding managed accounts, much of this related to how trades are booked and then flow to down stream applications, like Prime Brokers and Fund Administrator's.

I am currently looking at what is needed to be done for one of my clients, so watch this space, as I understand more, I will share with you.