WASHINGTON--Rep. Richard Baker, R-La., one of the senior Republicans on the House Financial Services Committee, is leaving Congress after 22 years to become head of the Managed Funds Association, a hedge fund lobby group.

The Washington-based MFA says on its Web site that it has advocacy efforts underway in Washington and abroad "to reshape the media's distortions and the public's misperceptions about the hedge fund industry." MFA describes itself as an organization for investment professionals in futures, hedge funds, commodity pool operators and other alternative investments.

As a member of the Financial Services panel and the former chairman of the subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises when Republicans held the majority, Rep. Baker played a role in numerous debates on issues affecting the insurance industry, including terrorism risk, flood insurance reforms and the creation of an optional federal charter for insurers.

When the Democrats assumed majority control after the 2006 elections, however, Rep. Baker lost out to Rep. Spencer Bachus, R-Ala., for the position of ranking member of the committee and did not serve as ranking member of the Capital Markets subcommittee he had formerly chaired.

Rep. Baker joins the MFA as president and chief executive officer. In making the announcement, MFA Chairman Eric Vincent praised the congressman for his "extensive knowledge of and broad experience" of financial service issues.

Mr. Vincent added that Mr. Baker's "expertise in this area, coupled with his deep understanding of the impact of policy-making on U.S. capital markets, investment advisers and investors, make him the ideal leader for our industry," Mr. Vincent said.

In the announcement of his new position, Rep. Baker said he was "honored" to have represented Louisiana in Congress for 22 years.

"During my tenure, it was a privilege to have served on the House Financial Services Committee and to work with my colleagues to ensure the health of our nation's financial system," he said.

Mr. Baker continued, "I have come to appreciate greatly the vital role played by the alternative investment industry in our economy and the importance of its continued success to the competitiveness of our nation's capital markets."

Rep. Baker succeeds John Gaine at MFA, who will stay with the organization as a special adviser and oversee its outreach efforts aimed at regulators and policymakers outside the U.S.

He is expected to officially leave office early next month. He is also the second Louisiana Republican to leave Congress during this term. Rep. Bobby Jindal, R-La., left office after a successful run to be his state's governor. He was sworn into office Monday. An election to fill Rep. Jindal's seat is scheduled for March 8, and an election to replace Rep. Baker may take place then as well.