Hong Kong's Securities and Futures Commission (SFC) is planning to propose relaxing the licensing requirements for hedge-fund management, with a consultation period on retail-hedge-fund rules. It is thought that the regulator is considering strengthening disclosure requirements for funds of hedge funds and looking at lowering the minimum investment for ordinary, or single-strategy, hedge funds and for funds of funds. Currently, prospective retail-hedge-fund managers must prove they have five years of experience managing money that “follows hedge fund strategies” and preferably for third parties. Under the suggested new rules, managers could count experience managing proprietary funds, such as working as a trader for a large investment bank.