A survey recently commissioned by the Hedge Fund Associationproduced some statistics bound to raise investor eyebrows. In the quest for alpha, nearly half of hedge fund professionals surveyed believe their competitors engage in illegal activity, more than one third have personally felt pressure to break rules, and about one third have witnessed misconduct in the workplace.

To boot, more than half of respondents reported the SEC is ineffective in detecting, investigating and prosecuting rule violations.

Survey respondents, however, reported overwhelmingly -- by more than 90 percent -- that their firms put the best interests of investors first.