How the SEC Missed a Hedge Fund With 17% Returns

The transcript discusses the consistent high returns of a hedge fund, raising suspicions similar to the Madoff scandal. It highlights questionable practices and regulatory oversights, particularly by the SEC, which failed to conduct thorough examinations. The fund's asset valuation was dubious, relying on non-independent consultants. The discussion suggests more frequent examinations of top-performing funds to prevent future issues.

What role did independent consultants play in the firm's operations, according to the text?

What recommendations could be made to improve the SEC's oversight based on the issues raised?