We are happy to announce that iQuant now also provides a reporting solution for Form PF. Besides AIFMD and Open Protocol (OP), this is another important step on our journey as a full-service provider of data automation and reporting solutions for AIFs, Hedge Funds and Liquid Alternatives.
Form PF (Private Fund) is the US equivalent of the European AIFMD reporting and imposed by the U.S. Securities and Exchange Commission (SEC) under the Dodd-Frank Wall Street Reform and Consumer Protection Act. Designed to enhance systemic risk monitoring, this regulation imposes specific reporting obligations on private fund managers.
The Form PF regulation primarily applies to investment advisers and fund managers who oversee private funds. Private funds encompass a wide range of investment vehicles, including hedge funds, private equity funds, real estate funds, venture capital funds, and certain commodity pools. Investment advisers who manage private funds and meet the reporting thresholds outlined by the SEC must comply with the Form PF requirements.
The reporting thresholds are as follows:
a) Large Hedge Fund Advisers: Advisers with at least $1.5 billion in hedge fund AUM must file Form PF. This threshold includes both U.S. and non-U.S. advisers.
b) Large Liquidity Fund Advisers: Advisers with at least $1 billion in combined AUM attributable to liquidity funds must file Form PF.
c) Large Private Equity Fund Advisers: Advisers with at least $2 billion in private equity fund AUM must file Form PF.
The reporting frequency varies based on the type and size of the adviser’s private funds. Generally, larger advisers with greater AUM have more frequent reporting obligations, while smaller advisers may report less frequently. The reporting periods are typically classified as quarterly or annually.
Form PF requires fund managers to provide comprehensive information on various aspects of their private funds, including:
a) Fund-level information: This includes the name, legal structure, and primary investment strategy of the private fund.
b) Assets Under Management (AUM): Reporting the fund’s total AUM, as well as categorizing the AUM by asset class and geographic concentration.
c) Risk Metrics: Reporting metrics such as value-at-risk (VaR), stress testing results, and liquidity risk management practices.
d) Portfolio Level Information: Detailing the fund’s investments, positions, leverage, counterparty exposure, and trading practices.
The report can be filed electronically by using two types of formats: through a fillable form or through XML submission.
iQuant clients benefit from a fully automated reporting and data management solution. All data is acquired from various relevant sources and processed and validated in the iQuant system. The final reports are provided via the iQuant platform for review. Once our client has approved the report, the XML files are automatically uploaded for filing. At all times, the user has full oversight of the process and the status of the report. As soon as the report is filed, the user automatically receives a notification.
Please contact our team at any time if you want to learn more about Form PF and our AIF solutions (AIFMD and OP Template). We’re looking forward to helping you with your reporting challenges.
