What is a 13g?
The Schedule 13g is a form required by the SEC from institutional investors who purchase more than 5% of a company's stock.
The institution can file a 13g report within 45 days of the end of the year. However, if the institution purchases more than 10% of a stock, the 13g must be filed within 10 days of the purchase.
An institution can file a 13g only if it has no plans to actively influence management decisions in a company. Institutions with such plans must file a 13d instead.
The 13g is a simpler alternative to the more complicated 13d form that hedge funds have to file to the SEC when they acquire more than 5% of a company.
A fund seeking to passively invest in a company can opt to file a 13g if it has no intention of lobbying management or engaging in any investor activism.