The Dodd-Frank Act directed the SEC to collect data with regard to hedge funds, private equity funds and other private funds in order to assist the Financial Stability Oversight Council (FSOC) in evaluating and monitoring systemic risk. In October 2011, the SEC created Form PF for that purpose. The first full reporting cycle ended on April 30 of this year. See “Challenges Faced By, Risks Encountered By and Lessons Learned From First Filers of Form PF
,” Hedge Fund Law Report, Vol. 6, No. 4 (Jan. 24, 2013); and “Lessons Learned by Hedge Fund Managers from the August 2012 Initial Form PF Filing
,” Hedge Fund Law Report, Vol. 5, No. 43 (Nov. 15, 2012). The Dodd-Frank Act also directed the SEC to report annually to Congress on how the SEC “has used the data collected regarding private funds under the Dodd-Frank Act to protect investors and the integrity of the markets.” Based on that directive, the SEC’s Division of Investment Management recently issued its first Form PF report. The report provides an overview of the Form PF reporting regime; general data relating to initial filers; and, perhaps most interestingly, a discussion of how the SEC is using and proposes to use the data gathered, beyond providing it to the FSOC. This article summarizes the key takeaways from the Report.