# kaal:claim:2389423-008

**Claim.** A surplus of larger private fund advisers holding correspondingly larger amounts of assets under management could increase systemic risk, so a regulation that consolidates the industry may work against its own systemic risk objective.

**Type.** predictive  **Support.** argued

**Holds when.**

- if Title IV compliance cost drives consolidation toward larger advisers

**Source quote.**

> A surplus of larger private fund advisers with correspondingly larger amounts in AUM could increase systemic risk.

**From.** Wulf A. Kaal, *The Impact of Dodd-Frank Act Compliance Cost on the Hedge Fund Industry* (2014), page 3

**Cite as.** Wulf A. Kaal, The Impact of Dodd-Frank Act Compliance Cost on the Hedge Fund Industry (2014). SSRN: https://ssrn.com/abstract=2389423

**Verify.** sha256 of source PDF `6b95323abbaffd00a012589531859f2938ab8b372d0243171059ff82e55a0838` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202014%20-%20The%20Impact%20of%20Dodd-Frank%20Act%20Compliance%20Cost%20on%20the%20Hedge%20Fund%20Industry.pdf

**Failure mode.** consolidation induced systemic risk  (family: systemic-risk-transmission)

**Topics.** systemic-risk, risk-and-incentives, private-funds

**Keywords.** systemic-risk, consolidation, private-funds, unintended-consequences, title-iv

**Related claims.**

- extends: https://wulfkaal.github.io/claims/2337268-010
- supported_by: https://wulfkaal.github.io/claims/2998097-018

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.