SEC Current Reporting Requirements for Private Funds Become Effective in December

Key Takeaways

• Following the SEC’s adoption, earlier this year, of changes to Form PF, large hedge fund advisers will face, for the first time, a requirement to report certain events to the SEC within 72 hours. 
• Private equity fund advisers will be required to report additional information on Form PF and to file a report within 60 days following any fiscal quarter in which certain events occur.
• Advisers are required to comply with the new, event-based filing requirements starting December 11, 2023. As a result, time is of the essence to build out systems and processes for this reporting.
• Together with the private fund adviser rulemaking and numerous pending proposals that will affect private fund advisers, these form changes are at the vanguard of an SEC advance deep into private fund operations and compliance.
• Similar to the SEC’s use of Form N-RN and Form N-MFP, advisers should expect that the SEC staff will closely monitor filings and use them to target outreach, particularly in times of market stress.
• With additional amendments to Form PF pending final SEC action, private fund advisers (and hedge fund advisers in particular) should be prepared for further buildouts in the coming year.