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Non-compete ban is ‘game changer’ for hedge funds

Recruiters say the Federal Trade Commission’s plan to stop lock-ins could have a major impact on hedge fund talent

The FTC’s move in the US is ‘bad news for larger hedge funds with an army of lawyers’
The FTC’s move in the US is ‘bad news for larger hedge funds with an army of lawyers’ Photo: Getty Images

The Federal Trade Commission’s ban on non-competes will be a “game changer” for hedge funds, recruiters say, as the sector prepares for greater competition.

The move will allow portfolio managers and quantitative researchers to switch firms more easily, but is a blow to large hedge funds paying law firms big bucks to enforce strict non-compete clauses, according to headhunters.

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