US SEC Chair: Considering Limiting the Scope of Data Hedge Funds Can Provide to Regulators

Paul Atkins, Chairman of the U.S. Securities and Exchange Commission (SEC), stated that in the upcoming regulatory policies, he hopes SEC staff will consider narrowing the scope of data that private fund advisers are required to provide to regulators. The deadline for complying with the new data reporting requirements will be postponed from June 12 to October 1. However, more limited data collection could be a bigger win for hedge funds and private equity firms. Atkins is concerned about whether the Trump administration’s use of data is “commensurate with the significant burden it imposes.” He has asked staff to conduct a “comprehensive review” of the increased data collection requirements implemented during former SEC Chairman Gary Gensler’s tenure. Private fund advisers have pointed out that they are facing challenges, including technical ones, ahead of this week’s deadline. SEC staff said at the June 11 committee meeting that many funds actually had more than two months before they truly began submitting the new data.