10:22 AM EDT, 06/05/2024 (MT Newswires) -- (Updates with additional details in second paragraph.)

The US Fifth Circuit Court of Appeals in New Orleans on Wednesday struck down the US Securities and Exchange Commission's regulations mandating hedge funds and private equity firms to disclose quarterly fees and expenses to investors, Bloomberg reported.

The court supported the private funds industry's stance, contending that the agency exceeded its jurisdiction and that regulations were unnecessary for the "highly sophisticated" investors who invest in private funds, the report said.

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