The WSJ [3] is reporting that the SEC sent letters back in December to some private equity firms as part an "informal inquiry" into how the firms value their assets.
It stands to reason that the SEC will be quite interested in how private equity firms are valuing assets since the financial crisis began in 2008.
Back in June 2011 the SEC [4] adopted a rule that requires private equity firms register with the SEC in order to "give the commission, and the public, insight into the hedge fund and other private fund managers who previously conducted their work under the radar and outside the vision of regulators." The rule was put in place to comply with a provision passed under the Dodd-Frank Act.
Firms that have not yet registered (ie: non-publicly traded companies), have until March 30th to do so.
