,i  #aad? ,,congress  #b;d ,session  ,h4
 ,r4 #fdbg  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,decemb] #b1 #bjaf,mr4
 ,g>rett 7= himself1 ,mr4 ,neugebau]1   
,mr4 ,duffy1 ,mr4 ,c>ney1 ,ms4          
,velzquez1 ,mr4 ,mc,henry1 ,mr4 ,huiz5ga
 ( ,mi*igan1 ,mr4 ,poliqu91 ,mr4        
,s*weik]t1 ,mr4 ,hurt ( ,virg9ia1 & ,mr4
 ,luetkemey]7 introduc$ ! foll[+ bill2  
:i* 0 ref]r$ to ! ,committee on         
,f9ancial ,s]vices  ,a ,,bill  ,to      
improve ! op]ation ( ,unit$ ,/ates      
capital m>kets1 & = o!r purposes4  #a4  
,%ort title2 table ( cont5ts  7a7 ,%ort 
title ,?is ,act may be cit$ z ! ,creat+ 
,f9ancial ,prosp]ity = ,bus9esses &     
,inve/ors ,act4  7b7 ,table ( cont5ts ,!
 table ( cont5ts = ?is ,act is z foll[s3
  ,sec4 #a4 ,%ort title2 table (        
cont5ts4 ,title ,i--,small ,bus9ess     
,capital ,=mation ,enhancem5t ,sec4     
#aja4 ,annual review ( gov]nm5t-bus9ess 
=um on capital =mation4 ,title          
,,ii--,,sec ,small ,bus9ess ,advocate   
,sec4 #bja4 ,e/abli%m5t ( ,(fice ( !    

,advocate = ,small ,bus9ess ,capital    
,=mation & ,small ,bus9ess ,capital     
,=mation ,advisory ,committee4 ,title   
,,iii--,support+ ,am]ica's ,innovators  
,sec4 #cja4 ,inve/or limitation =       
qualify+ v5ture capital funds4 ,title   
,,iv--,fix ,cr[dfund+ ,sec4 #dja4       
,cr[dfund+ vehicles4 ,sec4 #djb4        
,cr[dfund+ exemption f regi/ration4     
,title ,v--,fair ,inve/m5t              
,opportunities = ,pr(essional ,exp]ts   
,sec4 #eja4 ,def9ition ( accr$it$       
inve/or4 ,title ,,vi--,u4,s4 ,t]ritories
 ,inve/or ,protection ,sec4 #fja4       
,t]m9ation ( exemption4  ,i ,small      
,bus9ess ,capital ,=mation ,enhancem5t  
#aja4 ,annual review ( gov]nm5t-bus9ess 
=um on capital =mation ,section #ejc ( !
 ,small ,bus9ess ,inve/m5t ,inc5tive    
,act ( #aihj 7#ae ,u4,s4,c4 #hj;c-#a7 is
 am5d$ by add+ at ! end ! foll[+3  7e7  
,! ,commission %all-- 7#a7 review !     
f9d+s & recomm5dations ( ! =um2 &  7#b7 
ea* "t ! =um submits a f9d+ or          
recomm5dation to ! ,commission1 promptly

 issue a public /atem5t--  7,a7 assess+ 
! f9d+ or recomm5dation ( ! =um2 &  7,b7
 disclos+ ! action1 if any1 !           
,commission int5ds to take ) respect to 
! f9d+ or recomm5dation4  4  ,,ii ,,sec 
,small ,bus9ess ,advocate  #bja4        
,e/abli%m5t ( ,(fice ( ! ,advocate =    
,small ,bus9ess ,capital ,=mation &     
,small ,bus9ess ,capital ,=mation       
,advisory ,committee  7a7 ,(fice ( !    
advocate = small bus9ess capital =mation
 ,section #d ( ! ,securities ,ex*ange   
,act ( #aicd 7#ae ,u4,s4,c4 #gh;d7 is   
am5d$ by add+ at ! end ! foll[+3  7j7   
,(fice ( ! advocate = small bus9ess     
capital =mation  7#a7 ,(fice e/abli%$   
,!re is e/abli%$ )9 ! ,commission !     
,(fice ( ! ,advocate = ,small ,bus9ess  
,capital ,=mation 7h]eaft] 9 ?is        
subsection ref]r$ to z ! ,(fice74  7#b7 
,advocate = small bus9ess capital       
=mation  7,a7 ,9 g5]al ,! head ( !      
,(fice %all be ! ,advocate = ,small     
,bus9ess ,capital ,=mation1 :o %all--   
7i7 report directly to ! ,commission2 & 

7ii7 be appo9t$ by ! ,commission1 f     
among individuals hav+ exp]i5ce 9       
advocat+ = ! int]e/s ( small bus9esses &
 enc\rag+ small bus9ess capital =mation4
  7,b7 ,comp5sation ,! annual rate ( pay
 = ! ,advocate = ,small ,bus9ess        
,capital ,=mation %all be equal to !    
highe/ rate ( annual pay = o!r s5ior    
executives :o report directly to !      
,commission4  7,c7 ,no curr5t employee (
 ! commission ,an individual may n be   
appo9t$ z ! ,advocate = ,small ,bus9ess 
,capital ,=mation if ! individual is    
curr5tly employ$ by ! ,commission4  7#c7
 ,/aff ( (fice ,! ,advocate = ,small    
,bus9ess ,capital ,=mation1 aft]        
consultation ) ! ,commission1 may reta9 
or employ indep5d5t c\nsel1 rese>* /aff1
 & s]vice /aff1 z ! ,advocate = ,small  
,bus9ess ,capital ,=mation det]m9es to  
be necess>y to c>ry out ! functions ( ! 
,(fice4  7#d7 ,functions ( ! advocate = 
small bus9ess capital =mation ,!        
,advocate = ,small ,bus9ess ,capital    
,=mation %all-- 7,a7 assi/ small        

bus9esses & small bus9ess inve/ors 9    
resolv+ significant problems su*        
bus9esses & inve/ors may h ) !          
,commission or ) self-regulatory        
organizations2  7,b7 id5tify areas 9 :i*
 small bus9esses & small bus9ess        
inve/ors w\ld b5efit f *anges 9 !       
regulations ( ! ,commission or ! rules (
 self-regulatory organizations2  7,c7   
id5tify problems t small bus9esses h )  
secur+ access to capital1 includ+ any   
unique *all5ges to m9ority-own$ &       
wom5-own$ small bus9esses2  7,d7 analyze
 ! pot5tial impact on small bus9esses & 
small bus9ess inve/ors (-- 7i7 propos$  
regulations ( ! ,commission t are likely
 to h a significant economic impact on  
small bus9esses & small bus9ess capital 
=mation2 &  7ii7 propos$ rules t are    
likely to h a significant economic      
impact on small bus9esses & small       
bus9ess capital =mation (               
self-regulatory organizations regi/]$ "u
 ?is title2  7,e7 conduct outrea* to    
small bus9esses & small bus9ess         

inve/ors1 includ+ ?r\gh regional        
r\ndtables1 9 ord] to solicit views on  
relevant capital =mation issues2  7,f7  
to ! ext5t practicable1 propose to !    
,commission *anges 9 ! regulations or   
ord]s ( ! ,commission & to ,congress any
 legislative1 adm9i/rative1 or p]sonnel 
*anges t may be appropriate to mitigate 
problems id5tifi$ "u ?is p>agraph & to  
promote ! int]e/s ( small bus9esses &   
small bus9ess inve/ors2  7,g7 consult ) 
! ,inve/or ,advocate on propos$         
recomm5dations made "u subp>agraph 7,f72
 &  7,h7 advise ! ,inve/or ,advocate on 
issues relat$ to small bus9esses & small
 bus9ess inve/ors4  7#e7 ,access to     
docum5ts ,! ,commission %all ensure t ! 
,advocate = ,small ,bus9ess ,capital    
,=mation has full access to ! docum5ts &
 in=mation ( ! ,commission & any        
self-regulatory organization1 z necess>y
 to c>ry out ! functions ( ! ,(fice4    
7#f7 ,annual report on activities  7,a7 
,9 g5]al ,n lat] ?an ,decemb] #ca ( ea* 
ye> aft] #bjaf1 ! ,advocate = ,small    

,bus9ess ,capital ,=mation %all submit  
to ! ,committee on ,bank+1 ,h\s+1 &     
,urban ,affairs ( ! ,s5ate & !          
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives a report on !   
activities ( ! ,advocate = ,small       
,bus9ess ,capital ,=mation dur+ !       
imm$iately prec$+ fiscal ye>4  7,b7     
,cont5ts ,ea* report requir$ "u         
subp>agraph 7,a7 %all include-- 7i7     
appropriate /ati/ical in=mation & full &
 sub/antive analysis2  7ii7 in=mation on
 /eps t ! ,advocate = ,small ,bus9ess   
,capital ,=mation has tak5 dur+ !       
report+ p]iod to improve small bus9ess  
s]vices & ! responsiv5ess ( !           
,commission & self-regulatory           
organizations to small bus9ess & small  
bus9ess inve/or conc]ns2  7iii7 a summ>y
 ( ! mo/ s]i\s issues enc\nt]$ by small 
bus9esses & small bus9ess inve/ors1     
includ+ any unique issues enc\nt]$ by   
m9ority-own$ & wom5-own$ small bus9esses
 & _! inve/ors1 dur+ ! report+ p]iod2   
7iv7 an inv5tory ( ! items summ>iz$ "u  

clause 7iii7 7includ+ items summ>iz$ "u 
su* clause = any prior report+ p]iod on 
:i* no action has be5 tak5 or t h n be5 
resolv$ to ! satisfaction ( ! ,advocate 
= ,small ,bus9ess ,capital ,=mation z ( 
! beg9n+ ( ! report+ p]iod cov]$ by !   
report7 t includes--  7,i7 id5tification
 ( any action tak5 by ! ,commission or !
 self-regulatory organization & ! result
 ( su* action2  7,,ii7 ! l5g? ( "t t ea*
 item has rema9$ on su* inv5tory2 &     
7,,iii7 = items on :i* no action has be5
 tak51 ! reasons = inaction1 & an       
id5tification ( any (ficial :o is       
responsible = su* action2  7v7          
recomm5dations = su* *anges to !        
regulations1 guidance & ord]s ( !       
,commission & su* legislative actions z 
may be appropriate to resolve problems )
 ! ,commission & self-regulatory        
organizations enc\nt]$ by small         
bus9esses & small bus9ess inve/ors & to 
enc\rage small bus9ess capital =mation2 
&  7vi7 any o!r in=mation1 z det]m9$    
appropriate by ! ,advocate = ,small     

,bus9ess ,capital ,=mation4  7,c7       
,confid5tiality ,no report requir$ by   
subp>agraph 7,a7 may conta9 confid5tial 
in=mation4  7,d7 ,indep5d5ce ,ea* report
 requir$ "u subp>agraph 7,a7 %all be    
provid$ directly to ! committees (      
,congress li/$ 9 su* subp>agraph )\t any
 prior review or comm5t f ! ,commission1
 any commission]1 any o!r (fic] or      
employee ( ! ,commission1 or ! ,(fice ( 
,managem5t & ,budget4  7#g7 ,regulations
 ,! ,commission %all e/abli% proc$ures  
requir+ a =mal response to all          
recomm5dations submitt$ to ! ,commission
 by ! ,advocate = ,small ,bus9ess       
,capital ,=mation1 n lat] ?an #c mon?s  
aft] ! date ( su* submission4  7#h7     
,gov]nm5t-bus9ess =um on small bus9ess  
capital =mation ,! ,advocate = ,small   
,bus9ess ,capital ,=mation %all be      
responsible = plann+1 organiz+1 &       
execut+ ! annual ,gov]nm5t-,bus9ess ,=um
 on ,small ,bus9ess ,capital ,=mation   
describ$ 9 section #ejc ( ! ,small      
,bus9ess ,inve/m5t ,inc5tive ,act (     

#aihj 7#ae ,u4,s4,c4 #hj;c-#a74  7#i7   
,rule ( con/ruction ,no?+ 9 ?is         
subsection may be con/ru$ z replac+ or  
r$uc+ ! responsibilities ( ! ,inve/or   
,advocate ) respect to small bus9ess    
inve/ors4  4  7b7 ,small bus9ess capital
 =mation advisory committee ,title ,i ( 
! ,securities ,ex*ange ,act ( #aicd 7#ae
 ,u4,s4,c4 #gh;a et seq47 is am5d$ by   
add+ at ! end ! foll[+3  #dj4 ,small    
,bus9ess ,capital ,=mation ,advisory    
,committee  7a7 ,e/abli%m5t & purpose   
7#a7 ,e/abli%m5t ,!re is e/abli%$ )9 !  
,commission ! ,small ,bus9ess ,capital  
,=mation ,advisory ,committee 7h]eaft] 9
 ?is section ref]r$ to z ! ,committee74 
7#b7 ,functions  7,a7 ,9 g5]al ,!       
,committee %all provide ! ,commission ) 
advice on ! ,commission's rules1        
regulations1 & policies ) reg>d to !    
,commission's mission ( protect+        
inve/ors1 ma9ta9+ fair1 ord]ly1 &       
effici5t m>kets1 & facilitat+ capital   
=mation1 z su* rules1 regulations1 &    
policies relate to--  7i7 capital rais+ 

by em]g+1 privately held small bus9esses
 7em]g+ companies7 & publicly trad$     
companies ) less ?an #bej1jjj1jjj 9     
public m>ket capitalization 7small]     
public companies7 ?r\gh securities      
(f]+s1 includ+ private & limit$ (f]+s & 
initial & o!r public (f]+s2  7ii7 trad+ 
9 ! securities ( em]g+ companies &      
small] public companies2 &  7iii7 public
 report+ & corporate gov]nance          
requirem5ts ( em]g+ companies & small]  
public companies4  7,b7 ,limitation ,!  
,committee %all n provide any advice )  
respect to any policies1 practices1     
actions1 or decisions conc]n+ !         
,commission's en=cem5t program4  7b7    
,memb]%ip  7#a7 ,9 g5]al ,! memb]s ( !  
,committee %all be-- 7,a7 ! ,advocate = 
,small ,bus9ess ,capital ,=mation2  7,b7
 n few] ?an #aj1 & n m ?an #bj1 memb]s  
appo9t$ by ! ,commission1 f among       
individuals--  7i7 :o repres5t-- 7,i7   
em]g+ companies engag+ 9 private &      
limit$ securities (f]+s or consid]+     
initial public (f]+s 7,,ipo7 7includ+ ! 

companies' (fic]s & directors72  7,,ii7 
! pr(essional advisors ( su* companies  
7includ+ attorneys1 acc\ntants1 inve/m5t
 bank]s1 & f9ancial advisors72 &        
7,,iii7 ! inve/ors 9 su* companies      
7includ+ angel inve/ors1 v5ture capital 
funds1 & family (fices72  7ii7 :o are   
(fic]s or directors ( m9ority-own$ small
 bus9esses or wom5-own$ small bus9esses2
  7iii7 :o repres5t--  7,i7 small]      
public companies 7includ+ ! companies'  
(fic]s & directors72  7,,ii7 !          
pr(essional advisors ( su* companies    
7includ+ attorneys1 auditors1           
und]writ]s1 & f9ancial advisors72 &     
7,,iii7 ! pre-,,ipo & po/-,,ipo inve/ors
 9 su* companies 7bo? in/itutional1 su* 
z v5ture capital funds1 & individual1   
su* z angel inve/ors72 &  7iv7 :o       
repres5t p>ticipants 9 ! m>ketplace = ! 
securities ( em]g+ companies & small]   
public companies1 su* z securities      
ex*anges1 alt]native trad+ sy/ems1      
analy/s1 in=mation processors1 & transf]
 ag5ts2 &  7,c7 ?ree non-vot+ memb]s--  

7i7 "o ( :om %all be appo9t$ by !       
,inve/or ,advocate2  7ii7 "o ( :om %all 
be appo9t$ by ! ,nor? ,am]ican          
,securities ,adm9i/rators ,association2 
&  7iii7 "o ( :om %all be appo9t$ by !  
,adm9i/rator ( ! ,small ,bus9ess        
,adm9i/ration4  7#b7 ,t]m ,ea* memb] ( !
 ,committee appo9t$ "u subp>agraph 7,b71
 7,c77ii71 or 7,c77iii7 ( p>agraph 7#a7 
%all s]ve = a t]m ( #d ye>s4  7#c7      
,memb]s n commission employees ,memb]s  
appo9t$ "u subp>agraph 7,b71 7,c77ii71  
or 7,c77iii7 ( p>agraph 7#a7 %all n be  
treat$ z employees or ag5ts ( !         
,commission solely because ( memb]%ip on
 ! ,committee4  7c7 ,*airman2 vice      
*airman2 secret>y2 assi/ant secret>y    
7#a7 ,9 g5]al ,! memb]s ( ! ,committee  
%all elect1 f among ! memb]s ( !        
,committee-- 7,a7 a *airman2  7,b7 a    
vice *airman2  7,c7 a secret>y2 &  7,d7 
an assi/ant secret>y4  7#b7 ,t]m ,ea*   
memb] elect$ "u p>agraph 7#a7 %all s]ve 
= a t]m ( #c ye>s 9 ! capacity = :i* !  
memb] 0 elect$ "u p>agraph 7#a74  7d7   

,meet+s  7#a7 ,frequ5cy ( meet+s ,!     
,committee %all meet-- 7,a7 n less      
frequ5tly ?an f\r times annually1 at !  
call ( ! *airman ( ! ,committee2 &  7,b7
 f "t to "t1 at ! call ( ! ,commission4 
7#b7 ,notice ,! *airman ( ! ,committee  
%all give ! memb]s ( ! ,committee writt5
 notice ( ea* meet+1 n lat] ?an #b weeks
 be=e ! date ( ! meet+4  7e7            
,comp5sation & travel exp5ses ,ea* memb]
 ( ! ,committee :o is n a full-"t       
employee ( ! ,unit$ ,/ates %all-- 7#a7  
be entitl$ to receive comp5sation at a  
rate n to exce$ ! daily equival5t ( !   
annual rate ( basic pay 9 effect = a    
position at level ,v ( ! ,executive     
,s*$ule "u section #ecaf ( title #e1    
,unit$ ,/ates ,code1 = ea* day dur+ :i* 
! memb] is engag$ 9 ! actual p]=mance ( 
! duties ( ! ,committee2 &  7#b7 :ile   
away f ! home or regul> place ( bus9ess 
( ! memb] 9 ! p]=mance ( s]vices = !    
,committee1 be all[$ travel exp5ses1    
includ+ p] diem 9 lieu ( subsi/5ce1 9 ! 
same mann] z p]sons employ$ int]mitt5tly

 9 ! ,gov]nm5t s]vice are all[$ exp5ses 
"u section #egjc ( title #e1 ,unit$     
,/ates ,code4  7f7 ,/aff ,! ,commission 
%all make available to ! ,committee su* 
/aff z ! *airman ( ! ,committee det]m9es
 are necess>y to c>ry out ?is section4  
7g7 ,review by commission ,! ,commission
 %all-- 7#a7 review ! f9d+s &           
recomm5dations ( ! ,committee2 &  7#b7  
ea* "t ! ,committee submits a f9d+ or   
recomm5dation to ! ,commission1 promptly
 issue a public /atem5t--  7,a7 assess+ 
! f9d+ or recomm5dation ( ! ,committee2 
&  7,b7 disclos+ ! action1 if any1 !    
,commission int5ds to take ) respect to 
! f9d+ or recomm5dation4  7h7 ,f$]al    
advisory committee act ,! ,f$]al        
,advisory ,committee ,act 7#e ,u4,s4,c4 
,app47 %all n apply ) respect to !      
,committee & its activities4  4  7c7    
,annual gov]nm5t-,bus9ess =um on small  
bus9ess capital =mation ,section        
#ejc7;a7 ( ! ,small ,bus9ess ,inve/m5t  
,inc5tive ,act ( #aihj 7#ae ,u4,s4,c4   
#hj;c-#a7;a77 is am5d$ by ins]t+ 7act+  

?r\gh ! ,(fice ( ! ,advocate = ,small   
,bus9ess ,capital ,=mation & 9          
consultation ) ! ,small ,bus9ess        
,capital ,=mation ,advisory ,committee7 
aft] ,securities & ,ex*ange ,commission4
  ,,iii ,support+ ,am]ica's ,innovators 
#cja4 ,inve/or limitation = qualify+    
v5ture capital funds ,section #c7;c77#a7
 ( ! ,inve/m5t ,company ,act ( #aidj    
7#ae ,u4,s4,c4 #hj;a-#c7;c77#a77 is     
am5d$-- 7#a7 by ins]t+ aft] "o hundr$   
p]sons ! foll[+3 7or1 ) respect to a    
qualify+ v5ture capital fund1 #bej      
p]sons72 &  7#b7 by add+ at ! end !     
foll[+3  7,c7 ,! t]m qualify+ v5ture    
capital fund means any v5ture capital   
fund 7z def9$ pursuant to section       
#bjc7l77#a7 ( ! ,inve/m5t ,advis]s ,act 
( #aidj 7#ae ,u4,s4,c4 #hj;b-#c7l77#a77 
) no m ?an #aj1jjj1jjj 9 inve/$ capital1
 z su* doll> am\nt is annually adju/$ by
 ! ,commission to reflect ! *ange 9 !   
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics ( ! ,dep>tm5t ( ,labor4  4    

,,iv ,fix ,cr[dfund+  #dja4 ,cr[dfund+  
vehicles  7a7 ,am5dm5ts to ! ,securities
 ,act ( #aicc ,! ,securities ,act (     
#aicc 7#ae ,u4,s4,c4 #gg;a et seq47 is  
am5d$-- 7#a7 9 section #d;,a7f77#c71 by 
ins]t+ by any ( p>agraphs 7#a7 ?r\gh    
7#ad7 ( be=e section #c7;c72 &  7#b7 9  
section #d7;a77#f77;,b71 by ins]t+ aft] 
any inve/or ! foll[+3 1 o!r ?an a       
cr[dfund+ vehicle 7z def9$ 9 section    
#b7;a7 ( ! ,inve/m5t ,company ,act (    
#aidj714  7b7 ,am5dm5ts to ! ,inve/m5t  
,company ,act ( #aidj ,! ,inve/m5t      
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#a et seq47 is am5d$-- 7#a7 9     
section #b7;a71 by add+ at ! end !      
foll[+3  7#ee7 ,! t]m cr[dfund+ vehicle 
means a company-- 7,a7 ^: purpose 7z set
 =? 9 its organizational docum5ts7 is   
limit$ to acquir+1 hold+1 & dispos+     
securities issu$ by a s+le company 9 "o 
or m transactions & made pursuant to    
section #d7;a77#f7 ( ! ,securities ,act 
( #aicc2  7,b7 :i* issues only "o class 
( securities2  7,c7 :i* receives no     

comp5sation 9 connection ) su*          
acquisition1 hold+1 or disposition (    
securities2  7,d7 no associat$ p]son (  
:i* receives any comp5sation 9          
connection ) su* acquisition1 hold+ or  
disposition ( securities unless su*     
p]son is act+ z or on behalf ( an       
inve/m5t advis] regi/]$ "u ! ,inve/m5t  
,advis]s ,act ( #aidj or regi/]$ z an   
inve/m5t advis] 9 ! ,/ate 9 :i* !       
inve/m5t advis] ma9ta9s its pr9cipal    
(fice & place ( bus9ess2  7,e7 !        
securities ( :i* h be5 issu$ 9 a        
transaction made pursuant to section    
#d7;a77#f7 ( ! ,securities ,act ( #aicc1
 :]e bo? ! cr[dfund+ vehicle & ! company
 ^: securities x holds are co-issu]s2   
7,f7 :i* is curr5t 9 its ongo+          
disclosure obligations "u ,rule #bjb (  
,regulation ,cr[dfund+ 7#ag ,c4,f4,r4   
#bbg4bjb72  7,g7 ! company ^: securities
 x holds is curr5t 9 its ongo+          
disclosure obligations "u ,rule #bjb (  
,regulation ,cr[dfund+ 7#ag ,c4,f4,r4   
#bbg4bjb72 &  7,h7 is advis$ by an      

inve/m5t advis] regi/]$ "u ! ,inve/m5t  
,advis]s ,act ( #aidj or regi/]$ z an   
inve/m5t advis] 9 ! ,/ate 9 :i* !       
inve/m5t advis] ma9ta9s its pr9cipal    
(fice & place ( bus9ess4  2 &  7#b7 9   
section #c7;c71 by add+ at ! end !      
foll[+3  7#ae7 ,any cr[dfund+ vehicle4  
4  #djb4 ,cr[dfund+ exemption f         
regi/ration ,section #ab7;g77#f7 ( !    
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghl7g77#f77 is am5d$-- 7#a7  
by /rik+ ,! ,commission & ins]t+ !      
foll[+3  7,a7 ,9 g5]al ,! ,commission  2
  7#b7 by /rik+ section #d7f7 & ins]t+  
section #d7;a77#f72 &  7#c7 by add+ at !
 end ! foll[+3  7,b7 ,treatm5t (        
securities issu$ by c]ta9 issu]s ,an    
exemption "u subp>agraph 7,a7 %all be   
unconditional = securities (f]$ by an   
issu] t _h a public float ( less ?an    
#ge1jjj1jjj z ( ! la/ bus9ess day ( !   
issu]'s mo/ rec5tly complet$ semiannual 
p]iod1 comput$ by multiply+ ! aggregate 
worldwide numb] ( %>es ( ! issu]'s      
common equity securities held by        

non-affiliates by ! price at :i* su*    
securities 7 la/ sold 7or ! av]age bid &
 ask$ prices ( su* securities7 9 !      
pr9cipal m>ket = su* securities or1 9 ! 
ev5t ! result ( su* public float        
calculation is z]o1 _h annual rev5ues ( 
less ?an #ej1jjj1jjj z ( ! issu]'s mo/  
rec5tly complet$ fiscal ye>4  4  ,v     
,fair ,inve/m5t ,opportunities =        
,pr(essional ,exp]ts  #eja4 ,def9ition (
 accr$it$ inve/or ,section #b7;a77#ae7 (
 ! ,securities ,act ( #aicc 7#ae        
,u4,s4,c4 #gg;b7a77#ae77 is am5d$-- 7#a7
 by r$esignat+ clauses 7i7 & 7ii7 z     
subp>agraphs 7,a7 & 7,f71 respectively2 
&  7#b7 9 subp>agraph 7,a7 7z s         
r$esignat$71 by /rik+ 2 or & ins]t+ a   
semicolon1 & ins]t+ aft] su* subp>agraph
 ! foll[+3  7,b7 any natural p]son ^:   
individual net wor?1 or jo9t net wor? ) 
t p]son's sp\se1 exce$s #a1jjj1jjj 7:i* 
am\nt1 along ) ! am\nts set =? 9        
subp>agraph 7,c71 %all be adju/$ =      
inflation by ! ,commission e #e ye>s to 
! ne>e/ #aj1jjj to reflect ! *ange 9 !  

,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics7 :]e1 = purposes ( calculat+  
net wor? "u ?is subp>agraph--  7i7 !    
p]son's prim>y resid5ce %all n be       
includ$ z an asset2  7ii7 indebt$ness t 
is secur$ by ! p]son's prim>y resid5ce1 
up to ! e/imat$ fair m>ket value ( !    
prim>y resid5ce at ! "t ( ! sale (      
securities1 %all n be includ$ z a       
liability 7except t if ! am\nt ( su*    
indebt$ness out/&+ at ! "t ( sale (     
securities exce$s ! am\nt out/&+ #fj    
days be=e su* "t1 o!r ?an z a result ( !
 acquisition ( ! prim>y resid5ce1 !     
am\nt ( su* excess %all be includ$ z a  
liability72 &  7iii7 indebt$ness t is   
secur$ by ! p]son's prim>y resid5ce 9   
excess ( ! e/imat$ fair m>ket value ( ! 
prim>y resid5ce at ! "t ( ! sale (      
securities %all be includ$ z a          
liability2  7,c7 any natural p]son :o _h
 an individual income 9 excess (        
#bjj1jjj 9 ea* ( ! two mo/ rec5t ye>s or
 jo9t income ) t p]son's sp\se 9 excess 

( #cjj1jjj 9 ea* ( ^? ye>s & has a      
reasonable expectation ( rea*+ ! same   
income level 9 ! curr5t ye>2  7,d7 any  
natural p]son :o is curr5tly lic5s$ or  
regi/]$ z a brok] or inve/m5t advis] by 
! ,commission1 ! ,f9ancial ,indu/ry     
,regulatory ,au?ority1 or an equival5t  
self-regulatory organization 7z def9$ 9 
section #c7;a77#bf7 ( ! ,securities     
,ex*ange ,act ( #aicd71 or ! securities 
division ( a ,/ate or ! equival5t ,/ate 
division responsible = lic5s+ or        
regi/ration ( individuals 9 connection )
 securities activities2  7,e7 any       
natural p]son ! ,commission det]m9es1 by
 regulation1 to h demon/rable education 
or job exp]i5ce to qualify su* p]son z  
hav+ pr(essional k ( a subject relat$ to
 a p>ticul> inve/m5t1 & ^: education or 
job exp]i5ce is v]ifi$ by ! ,f9ancial   
,indu/ry ,regulatory ,au?ority or an    
equival5t self-regulatory organization  
7z def9$ 9 section #c7;a77#bf7 ( !      
,securities ,ex*ange ,act ( #aicd72 or  
4  ,,vi ,u4,s4 ,t]ritories ,inve/or     

,protection  #fja4 ,t]m9ation (         
exemption  7a7 ,9 g5]al ,section #f7;a7 
( ! ,inve/m5t ,company ,act ( #aidj 7#ae
 ,u4,s4,c4 #hj;a-#f7;a77 is am5d$ by    
/rik+ p>agraph 7#a74  7b7 ,effective    
date & safe h>bor  7#a7 ,effective date 
,except z provid$ 9 p>agraph 7#b71 !    
am5dm5t made by subsection 7a7 %all take
 effect on ! date ( ! enactm5t ( ?is    
,act4  7#b7 ,safe h>bor ,) respect to a 
company t is exempt "u section          
#f7;a77#a7 ( ! ,inve/m5t ,company ,act (
 #aidj 7#ae ,u4,s4,c4 #hj;a-#f7;a77#a77 
on ! day be=e ! date ( ! enactm5t ( ?is 
,act1 ! am5dm5t made by subsection 7a7  
%all take effect on ! date t is #c ye>s 
aft] ! date ( ! enactm5t ( ?is ,act4    
7#c7 ,ext5sion ( safe h>bor ,!          
,securities & ,ex*ange ,commission1 by  
rule & regulation ^u its own motion1 or 
by ord] ^u application1 may             
conditionally or unconditionally1 "u    
section #f7;c7 ( ! ,inve/m5t ,company   
,act ( #aidj 7#ae ,u4,s4,c4             
#hj;a-#f7;c771 fur!r delay ! effective  

date = a company describ$ 9 p>agraph    
7#b7 = a maximum ( #c ye>s foll[+ !     
initial #c-ye> p]iod if1 be=e ! end ( ! 
initial #c-ye> p]iod1 ! ,commission     
det]m9es t su* a rule1 regulation1      
motion1 or ord] is necess>y or          
appropriate 9 ! public int]e/ & = !     
protection ( inve/ors4