Advisers Act Rule 206(4)-2(b)(4) (Custody Rule) provides an exception from certain requirements of the Custody Rule with respect to the account of a limited partnership, limited liability company or another type of pooled investment vehicle (e.g., hedge funds, private equity funds, and other private funds) that is subject to audit by an independent public accountant at least annually and distributes its audited financial statements prepared in accordance with U.S. generally accepted accounting principles to all investors within 120 days after the fund’s fiscal year-end.
 

Note that a 180-day time limit applies to “funds-of-funds.”
 

Notwithstanding the timing of this requirement, registered CPOs are required to file and distribute audited financials by 3/30/2024 unless an extension has been granted.