A hedge fund that is struggling in the current economy does not necessarily need to shut down completely. One alternative may be for the manager to close the fund to outside investors and convert into a “private structure,” such as a family office. The first article in this three-part series explores the “going private” trend and the factors a hedge fund manager should consider when deciding to convert a hedge fund, as well as the options available once that decision has been made. The second article examines the operational considerations a hedge fund manager faces when making the conversion, including ongoing regulatory obligations and staffing concerns. The third article details the mechanics for taking a hedge fund private, including redemption of outside investors and costs of conversion. For more on family offices, see “Benefits and Burdens for Hedge Fund Managers in Establishing or Converting to a Family Office” (Jun. 6, 2014),