# kaal:claim:2739479-034

**Claim.** Passing compliance costs through to reporting funds applies those costs against the funds' trading revenues, which produces an overall adverse impact on fund earnings and so shifts the burden of regulation onto investors.

**Type.** failure  **Support.** argued

**Holds when.**

- funds subject to adviser expense pass-through terms

**Source quote.**

> These pass-through costs are applied to the funds' trading rev- enues, which results in an overall adverse impact on the funds' earnings.

**From.** Wulf A. Kaal, *The Post Dodd-Frank Act Evolution of the Private Fund Industry Comparative Evidence from 2012 and 2* (2016), IV.4. Fund Earnings, page 45

**Cite as.** Wulf A. Kaal, The Post Dodd-Frank Act Evolution of the Private Fund Industry Comparative Evidence from 2012 and 2 (2016). SSRN: https://ssrn.com/abstract=2739479

**Verify.** sha256 of source PDF `b2e7b81a16ab01c73478b62e85068f9dadc5cdd18427241e8bc5e8216a967730` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202016%20-%20The%20Post%20Dodd-Frank%20Act%20Evolution%20of%20the%20Private%20Fund%20Industry%20Comparative%20Evidence%20from%202012%20and%202.pdf

**Failure mode.** Compliance cost pass-through to investors  (family: compliance-cost-and-barrier-to-entry)

**Topics.** compliance, private-funds

**Keywords.** pass-through-expenses, fund-earnings, compliance-costs, investor-burden, private-funds

**Related claims.**

- extends: https://wulfkaal.github.io/claims/2732915-034

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