Comment Letters on the Form PF Proposal: Concerns About Scope, Intent and Overall Value (Part One of Three)

Despite the SEC offering only a scant 30‑day period for the public to comment on its proposed amendments to Form PF (Proposal), concerned citizens and members of the private funds industry managed to submit 127 comment letters to advise the Commission’s next steps. With an eye toward educating the SEC on the nuances of the industry and tailoring the scope of the reforms, many letters were critical of different facets of the Proposal. To understand the Proposal’s impact and forecast potential changes when the SEC issues its final reforms, the Private Equity Law Report reviewed all of the comment letters to analyze notable complaints and concerns raised therein. This three-part series presents key takeaways from the comment letters submitted on the Proposal in anticipation of final Form PF reforms being issued by the end of 2022. This first article summarizes general observations in the comment letters about the scope, intent and purpose of the Proposal. The second article will detail critiques of the stress-related reporting events in the new Section 6 of Form PF that would require PE sponsors to report within one business day. The third article will offer suggestions to reform PE funds’ new annual reporting items and the reduced threshold for PE sponsors to file, as well as to modernize certain defined terms. See our two-part series on the Proposal: “Require More PE Sponsors to File and One‑Business‑Day Reporting Criteria” (Feb. 22, 2022); and “Practical Impact on PE Sponsors and Reasons for Industry Backlash” (Mar. 1, 2022).

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