Sailing into N-PORT

Getting to any port requires skillful navigation of the waters to arrive at your final destination and you need state-of-the-art navigational tools.  Today’s registered investment companies (RICs) and ETFs face a navigational issue with the new Form N-PORT filing requirement. This requirement, which is part of the SEC’s Investment Company Reporting Modernization, means that compliance and risk reporting teams have to amend their current data collecting and reporting processes before the deadline of June 1, 2018, for funds with more than $1 billion in net assets and June 1, 2019, for smaller funds.

N-PORT allows the SEC to understand and evaluate various risks to a particular fund, as well as monitor systemic risk across the fund industry as a whole.

Today, RICs have to file their portfolio holdings on a quarterly basis via Form N-Q and Form N-CSR. When Form N-PORT goes into effect, it will replace the current forms, resulting in a significant increase in the reporting frequency and operational burden, as N-PORT must be filed on a monthly basis. The SEC will make data from the last month of the fund’s fiscal quarter public 60 days after the end of the fiscal quarter. This means that one out of every three reports will be made public. 

While the first reporting deadlines are still months away, we are already speaking with our clients about how to seamlessly transition to Form N-PORT. Reach out if you would like to hear more about our solution for N-PORT filing.

Nicola Le Brocq

Nicola is the London-based Director of Reporting Solutions at Axioma. A Chartered Fellow of the Chartered Securities & Investment Institute and an ex-regulator with 18 years of financial services regulatory experience with an in-depth understanding of US and European regulatory framework. Nicola has provided regulatory consultancy services to the asset servicing / asset management industry and acts as a subject matter ...

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