SEC adopts new electronic filing requirements for institutional investment managers and advisers

The Commission claims the new requirements will enhance efficiency, transparency and operational resiliency, while also making data more accessible to the public.

The Securities and Exchange Commission (SEC) has adopted amendments requiring investment advisers, institutional investment managers, and other entities to file or submit certain documents electronically.

The SEC also looks to make technical changes to Form 13F – the reporting document filed by institutional investment managers pursuant to Section 13(f) of the Securities Exchange Act of 1934 – to modernise it and improve the information provided.

In addition, the changes intend to increase efficiency, transparency and operational resiliency through modernising the methods in which information is filed or submitted to the SEC and disclosed to the public.

The SEC claims that electronic filings will be more readily accessible to the public and available on websites in easily searchable formats.

“In a digital age, it is important for filers to have easy, online methods to submit information to the Commission, and where appropriate for investors to have easy, online access as well,” said Gary Gensler, SEC chair.

“Electronic filing, as opposed to paper filing, makes this submission and disclosure more efficient, transparent, and operationally resilient. In light of this, these amendments benefit filers, investors, and the SEC.”

The ability to file electronically has also helped address logistical and operational issues raised by the Covid-19 pandemic.

By expanding electronic submission, the Commission and filers will be better positioned to navigate any future disruptive events that make the paper submission method difficult, impractical, or unavailable.

The new rules and form amendments will be effective 60 days after publication in the Federal Register, with the exception of the amendments to Form 13F. The amendments to the latter will be effective on January 3, 2023 – with the SEC providing a six-month transition period to allow filers to have enough time to prepare for the transition of submitting these documents electronically.