On May 3rd, the SEC adopted rule amendments to Form PF that requires current reporting for certain private fund advisers and revises certain reporting requirements. Form PF is the confidential reporting form for certain SEC-registered investment advisers to private funds.
Form PF provides the SEC and the Financial Stability Oversight Council (FSOC) with important, confidential information about the basic operations and strategies of private funds and establishes a baseline picture of the private fund industry to assess systemic risk. The amendments to Form PF will enhance FSOC’s ability to monitor systemic risk and support the SEC’s regulatory oversight of private fund advisers and investor protection efforts.
The final amendments introduce the following requirements:
enhanced reporting by large private equity fund advisers to improve the ability of the FSOC to monitor systemic risk and improve the ability of both the FSOC and the SEC to identify and assess changes in market trends at reporting funds
quarterly event reporting for all private equity fund advisers regarding certain events that could raise investor protection issues
current reporting by large hedge fund advisers regarding certain events that may indicate significant stress at a fund that could harm investors or signal risk in the broader financial system
The final form amendments are applicable to the following entities:
large hedge fund advisers (for example, hedge fund advisers with at least $1.5 billion in hedge fund assets under management)
large private equity fund advisers (for example, private equity fund advisers with at least $2 billion in private equity assets under management
private equity fund advisers (for example, investment advisers with at least $150 million in private equity fund assets under management)
The final rules become effective six months after publication in the Federal Register for current and quarterly event reporting and one year after publication in the Federal Register for the remaining amendments.
For more detailed information on the amendments, refer to the SEC’s final rule on the SEC’s website.