Hedge Funds Challenging SEC’s New Short-Sale Disclosure Rules

Hedge funds are challenging new Securities and Exchange Commission requirements that would force investors to reveal far more about short selling and related stock lending — the latest industry pushback on a spate of new rules by Wall Street’s main regulator.

The Managed Funds Association, the Alternative Investment Management Association and the National Association of Private Fund Managers said Tuesday that they had asked a federal appeals court in New Orleans to invalidate the regulations, which the SEC approved in October. The groups claimed in a statement that the agency didn’t adequately calculate the combined financial impact of the ...