,i  #aah? ,,congress  #a/ ,session  ,h4 
,r4 #bgii  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,april #bd1 #bjbc,mr4 
,mc,henry introduc$ ! foll[+ bill2 :i* 0
 ref]r$ to ! ,committee on ,f9ancial    
,s]vices1 & 9 addition to ! ,committee  
on ,education & ! ,work=ce1 = a p]iod to
 be subsequ5tly det]m9$ by ! ,speak]1 9 
ea* case = consid]ation ( su* provisions
 z fall )9 ! jurisdiction ( ! committee 
conc]n$  ,a ,,bill  ,to make re=ms to ! 
capital m>kets ( ! ,unit$ ,/ates1 & =   
o!r purposes4  #a4 ,%ort title2 table ( 
cont5ts  7a7 ,%ort title ,?is ,act may  
be cit$ z ! ,exp&+ ,access to ,capital  
,act ( #bjbc4  7b7 ,table ( cont5ts ,!  
table ( cont5ts = ?is ,act is z foll[s3 
,sec4 #a4 ,%ort title2 table (          
cont5ts4,division ,a--,/r5g!n+ ,public  
,markets,title ,i--,remove ,ab]rations 9
 ! ,m>ket ,cap ,te/ = ,t>get ,company   
,f9ancial ,statements,sec4 #aaja4       
,avoid+ ab]rational results 9           
requirem5ts = acquisition & disposition 
f9ancial /atem5ts4,title ,,ii--,improv+ 

,disclosure = ,investors,sec4 #abja4    
,%ort title4,sec4 #abjb4 ,electronic    
deliv]y4,title ,,iii--,help+ ,/>tups    
,cont9ue ,to ,grow,sec4 #acja4 ,%ort    
title4,sec4 #acjb4 ,em]g+ gr[? company  
crit]ia4,title ,,iv--,,sec & ,,pcaob    
,auditor ,requirem5ts = ,newly ,public  
,companies,sec4 #adja4 ,auditor         
indep5d5ce = c]ta9 pa/ audits occurr+   
be=e an issu] is a public company4,title
 ,v--,exp& ! ,protection = ,rese>*      
,reports to ,cov] ,all ,securities (    
,all ,issuers,sec4 #aeja4 ,provision (  
rese>*4,title ,,vi--,codify ,mi,f,i,d   
,no ,action ,letter,sec4 #afja4         
,def9ition ( inve/m5t advis] am5d$ to   
exclude brok]s & deal]s comp5sat$ =     
c]ta9 rese>* s]vices4,title             
,,vii--,exclude ,q,i,bs & ,i,a,as f !   
,record ,hold] ,c\nt = ,m&atory         
,registration,sec4 #agja4 ,exclusions f 
m&atory regi/ration ?re%old4,title      
,,viii--,exp& ,,wksi ,eligibility,sec4  
#ahja4 ,def9ition ( well-kn[n season$   
issu]4,title ,,ix--,small] report+      

company1 accel]at$ fil]1 & l>ge         
accel]at$ fil] thresholds,sec4 #aija4   
,small] report+ company1 accel]at$ fil]1
 & l>ge accel]at$ fil]                  
?re%olds4,division ,b--,help+ ,small    
,bus9esses & ,entrepreneurs,title       
,i--,unlock+ ,capital = ,small          
,businesses,sec4 #baja4 ,%ort           
title4,sec4 #bajb4 ,safe h>bors =       
private placem5t brok]s & f9d]s4,sec4   
#bajc4 ,limitations on ,/ate law4,title 
,,ii--,small ,bus9ess ,inve/or ,capital 
,access,sec4 #bbja4 ,%ort title4,sec4   
#bbjb4 ,inflation adju/m5t = ! exemption
 ?re%old = c]ta9 inve/m5t advis]s (     
private funds4,title ,,iii--,improv+    
,capital ,allocation = ,newcomers,sec4  
#bcja4 ,%ort title4,sec4 #bcjb4         
,qualify+ v5ture capital funds4,title   
,,iv--,small ,entrepr5eurs' ,emp[]m5t & 
,development,sec4 #bdja4 ,%ort          
title4,sec4 #bdjb4 ,micro-(f]+          
exemption4,title ,v--,regulation ,a     
,improvement,sec4 #beja4 ,%ort          
title4,sec4 #bejb4 ,,jobs ,act-relat$   

exemption4,title ,,vi--,develop+ &      
,emp[]+ our ,aspir+ ,leaders,sec4 #bfja4
 ,%ort title4,sec4 #bfjb4               
,def9itions4,sec4 #bfjc4 ,reports4,title
 ,,vii--,help+ ,angels ,lead ,our       
,startups,sec4 #bgja4 ,%ort title4,sec4 
#bgjb4 ,cl>ification ( g5]al            
solicitation4,sec4 #bgjc4 ,re/rictions  
on new fil+ requirem5ts 9 connection ) a
 g5]al solicitation4,title              
,,viii--,improv+ ,cr[dfund+             
,opportunities,sec4 #bhja4 ,%ort        
title4,sec4 #bhjb4 ,cr[dfund+           
revisions4,title ,,ix--,re/or+ !        
,second>y ,trad+ ,market,sec4 #bija4    
,%ort title4,sec4 #bijb4 ,exemption f   
,/ate regulation4,division ,c--,increas+
 ,access to ,private ,markets,title     
,i--,gig ,work] ,equity                 
,compensation,sec4 #caja4 ,%ort         
title4,sec4 #cajb4 ,ext5sion ( ,rule    
#gja4,sec4 #cajc4 ,preemption ( c]ta9   
provisions ( ,/ate law4,sec4 #cajd4     
,,gao /udy4,title ,,ii--,inve/m5t       
,opportunity ,expansion,sec4 #cbja4     

,%ort title4,sec4 #cbjb4 ,inve/m5t      
?re%olds to qualify z an accr$it$       
inve/or4,title ,,iii--,risk ,disclosure 
& ,inve/or ,attestation,sec4 #ccja4     
,%ort title4,sec4 #ccjb4 ,inve/or       
atte/ation4,title ,,iv--,increas+       
,inve/or ,opportunities,sec4 #cdja4     
,%ort title4,sec4 #cdjb4 ,clos$-end     
company au?ority to inve/ 9 private     
funds4,title ,v--,accr$it$ inve/ors     
include individuals receiv+ advice f    
c]ta9 professionals,sec4 #ceja4         
,accr$it$ inve/ors include individuals  
receiv+ advice f c]ta9                  
pr(essionals4,title ,,vi--,retirem5t    
,fairness = ,*>ities & ,educational     
,institutions,sec4 #cfja4 ,%ort         
title4,sec4 #cfjb4 ,enhancem5t (        
#djc7;b7 plans4  ,a ,/r5g!n+ ,public    
,m>kets  ,i ,remove ,ab]rations 9 !     
,m>ket ,cap ,te/ = ,t>get ,company      
,f9ancial ,/atem5ts  #aaja4 ,avoid+     
ab]rational results 9 requirem5ts =     
acquisition & disposition f9ancial      
/atem5ts ,! ,securities & ,ex*ange      

,commission %all revise section         
#baj4a-jb7w77#a77;i77,a7 ( title #ag1   
,code ( ,f$]al ,regulations1 to p]mit a 
regi/rant1 9 det]m9+ ! significance ( an
 acquisition or disposition describ$ 9  
su* section #baj4a-jb7w77#a77;i77,a71 to
 calculate ! regi/rant's aggregate      
worldwide m>ket value bas$ on !         
applicable trad+ value1 conv]sion value1
 or ex*ange value ( all ( ! regi/rant's 
out/&+ classes ( /ock 7includ+ pref]r$  
/ock & non-trad$ common %>es t are      
conv]tible into or ex*angeable = trad$  
common %>es7 & n j ! vot+ & non-vot+    
common equity ( ! regi/rant4  ,,ii      
,improv+ ,disclosure = ,inve/ors  #abja4
 ,%ort title ,?is title may be cit$ z ! 
,improv+ ,disclosure = ,inve/ors ,act ( 
#bjbc4  #abjb4 ,electronic deliv]y  7a7 
,promulgation ( rules ,n lat] ?an #ahj  
days aft] ! date ( ! enactm5t ( ?is     
section1 ! ,securities & ,ex*ange       
,commission %all propose &1 n lat] ?an  
#a ye> aft] ! date ( ! enactm5t ( ?is   
section1 ! ,commission %all f9alize1    

rules1 regulations1 am5dm5ts1 or        
int]pretations1 z appropriate1 to all[ a
 cov]$ entity to satisfy ! entity's     
obligation to deliv] regulatory docum5ts
 requir$ "u ! securities laws to        
inve/ors us+ electronic deliv]y4  7b7   
,requir$ provisions ,rules1 regulations1
 am5dm5ts1 or int]pretations !          
,commission promulgates pursuant to     
subsection 7a7 %all3 7#a7 ,) respect to 
inve/ors t d n receive all regulatory   
docum5ts by electronic deliv]y1 provide 
=-- 7,a7 deliv]y ( an initial           
communication 9 pap] =m reg>d+          
electronic deliv]y2  7,b7 a transition  
p]iod n to exce$ #ahj days until su*    
regulatory docum5ts are deliv]$ to su*  
inve/ors by electronic deliv]y2 &  7,c7 
dur+ a p]iod n to exce$ #b ye>s foll[+ !
 transition p]iod set =? 9 subp>agraph  
7,b71 deliv]y ( an annual notice 9 pap] 
=m solely rem9d+ su* inve/ors ( !       
ability to opt out ( electronic deliv]y 
at any "t & receive pap] v]sions (      
regulatory docum5ts4  7#b7 ,set =?      

requirem5ts = ! cont5t ( ! initial      
communication describ$ 9 p>agraph       
7#a77;,a74  7#c7 ,set =? requirem5ts = !
 tim+ ( deliv]y ( a notice ( website    
availability ( regulatory docum5ts & !  
cont5t ( ! appropriate notice describ$ 9
 subsection 7h77#c77;,b74  7#d7 ,provide
 a me*anism = inve/ors to opt out (     
electronic deliv]y at any "t & receive  
pap] v]sions ( regulatory docum5ts4     
7#e7 ,require measures reasonably       
design$ to id5tify & rem$iate fail$     
electronic deliv]ies ( regulatory       
docum5ts4  7#f7 ,set =? m9imum          
requirem5ts reg>d+ readability &        
reta9ability = regulatory docum5ts t are
 deliv]$ electronically4  7#g7 ,= cov]$ 
entities o!r ?an brok]s1 deal]s1        
inve/m5t advis]s regi/]$ ) !            
,commission1 & inve/m5t companies1      
require measures reasonably design$ to  
ensure ! confid5tiality ( p]sonal       
in=mation 9 regulatory docum5ts t are   
deliv]$ to inve/ors electronically4  7c7
 ,exemption f c]ta9 requirem5ts ,section

 #aja7;c7 ( ! ,electronic ,signatures 9 
,global & ,national ,comm]ce ,act 7#ae  
,u4,s4,c4 #gjja7;c77 %all n apply )     
respect to a regulatory docum5t deliv]$ 
9 accordance ) ?is section4  7d7 ,rule (
 con/ruction ,no?+ 9 ?is section %all be
 con/ru$ z alt]+ ! sub/ance or tim+ (   
any regulatory docum5t obligation "u !  
securities laws or regulations ( a      
self-regulatory organization4  7e7      
,treatm5t ( revisions n complet$ 9 a    
timely mann] ,if ! ,commission fails to 
f9alize ! rules1 regulations1 am5dm5ts1 
or int]pretations requir$ "u subsection 
7a7 be=e ! date specifi$ 9 su*          
subsection-- 7#a7 a cov]$ entity may    
deliv] regulatory docum5ts us+          
electronic deliv]y 9 accordance )       
subsections 7b7 ?r\gh 7d72 &  7#b7 su*  
electronic deliv]y %all be deem$ to     
satisfy ! obligation ( ! cov]$ entity to
 deliv] regulatory docum5ts requir$ "u !
 securities laws4  7f7 ,o!r action  7#a7
 ,review ( rules ,! ,commission %all--  
7,a7 )9 #ahj days ( ! date ( enactm5t ( 

?is ,act1 conduct a review ( ! rules &  
regulations ( ! ,commission to det]m9e  
:e!r any su* rules or regulations       
require deliv]y ( writt5 docum5ts to    
inve/ors2 &  7,b7 )9 #a ye> ( ! date (  
enactm5t ( ?is ,act1 promulgate am5dm5ts
 to su* rules or regulations to provide 
t any requirem5t to deliv] a regulatory 
docum5t 9 writ+ may be satisfi$ by      
electronic deliv]y4  7#b7 ,actions by   
self-regulatory organizations ,ea*      
self-regulatory organization %all adopt 
rules & regulations1 or am5d ! rules &  
regulations ( ! self-regulatory         
organization1 consi/5t ) ?is ,act &     
consi/5t ) rules1 regulations1 am5dm5ts1
 or int]pretations f9aliz$ by !         
,commission pursuant to subsection 7a74 
7#c7 ,rule ( application ,?is subsection
 %all n apply to a rule or regulation   
issu$ pursuant to a ,f$]al /atute if t  
,f$]al /atute specifically requires     
deliv]y ( writt5 docum5ts to inve/ors4  
7g7 ,def9itions ,9 ?is section3 7#a7    
,commission ,! t]m ,commission means !  

,securities & ,ex*ange ,commission4     
7#b7 ,cov]$ entity ,! t]m cov]$ entity  
means-- 7,a7 an inve/m5t company 7z     
def9$ 9 section #c7;a77#a7 ( ! ,inve/m5t
 ,company ,act ( #aidj 7#ae ,u4,s4,c4   
#hj;a-#c77 t is regi/]$ "u su* ,act2    
7,b7 a bus9ess developm5t company 7z    
def9$ 9 section #b7;a7 ! ,inve/m5t      
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#b7;a777 t has elect$ to be       
regulat$ z su* "u su* ,act2  7,c7 a     
regi/]$ brok] or deal] 7z def9$ 9       
section #c7;a77#d7 & section #c7;a77#e7 
( ! ,securities ,ex*ange ,act ( #aicd7  
7#ae ,u4,s4,c4 #gh;c7a77#d7             
#gh;c7a77#e772  7,d7 a regi/]$ municipal
 securities deal] 7z def9$ 9 section    
#c7;a77#cj7 ( ! ,securities ,ex*ange    
,act ( #aicd7 7#ae ,u4,s4,c4            
#gh;c7a77#cj772  7,e7 a regi/]$ gov]nm5t
 securities brok] or gov]nm5t securities
 deal] 7z def9$ 9 section #c7;a77#dc7 & 
section #c7;a77#dd7 ( ! ,securities     
,ex*ange ,act ( #aicd7 7#ae ,u4,s4,c4   
#gh;c7a77#dc7  #gh;c7a77#dd772  7,f7 a  

regi/]$ inve/m5t advis] 7z def9$ 9      
section #bjb7;a77#aa7 ( ! ,inve/m5t     
,advis]s ,act ( #aidj7 7#ae ,u4,s4,c4   
#hj;b-#a72  7,g7 a regi/]$ transf] ag5t 
7z def9$ 9 section #c7;a77#be7 ( !      
,securities ,ex*ange ,act ( #aicd7 7#ae 
,u4,s4,c4 #gh;c7a772 or  7,h7 a regi/]$ 
fund+ portal 7z def9$ 9 section         
#c7;a77#ha7 ( ! ,securities ,ex*ange    
,act ( #aicd7 7#ae ,u4,s4,c4 #gh;c7a774 
7#c7 ,electronic deliv]y ,! t]m         
electronic deliv]y1 ) respect to        
regulatory docum5ts1 includes-- 7,a7 !  
direct deliv]y ( su* regulatory docum5t 
to an electronic address ( an inve/or2  
7,b7 ! po/+ ( su* regulatory docum5t to 
a website & direct electronic deliv]y ( 
an appropriate notice ( ! availability (
 ! regulatory docum5t to ! inve/or2 &   
7,c7 an electronic me?od reasonably     
design$ to ensure receipt ( su*         
regulatory docum5t by ! inve/or4  7#d7  
,regulatory docum5ts ,! t]m regulatory  
docum5ts includes-- 7,a7 prospectuses   
meet+ ! requirem5ts ( section #aj7;a7 ( 

! ,securities ,act ( #aicc 7#ae         
,u4,s4,c4 #gg;j72  7,b7 summ>y          
prospectuses meet+ ! requirem5ts (-- 7i7
 section #bcj4dih ( title #ag1 ,code (  
,f$]al ,regulations2 or  7ii7 section   
#bcj4dih;,a ( title #ag1 ,code ( ,f$]al 
,regulations2  7,c7 /atem5ts (          
additional in=mation1 z describ$ "u     
section #bgj4cj;e-#c7;h77#c7 ( title    
#ag1 ,code ( ,f$]al ,regulations2  7,d7 
annual & semi-annual reports to inve/ors
 meet+ ! requirem5ts ( section #cj7;e7 (
 ! ,inve/m5t ,company ,act ( #aidj 7#ae 
,u4,s4,c4 #hj;a-#bi7;e772  7,e7 notices 
meet+ ! requirem5ts "u section          
#bgj4ai;a-#a ( title #ag1 ,code ( ,f$]al
 ,regulations2  7,f7 confirmations &    
acc\nt /atem5ts meet+ ! requirem5ts "u  
section #bdj4aj;b-#aj ( title #ag1 ,code
 ( ,f$]al ,regulations2  7,g7 proxy     
/atem5ts meet+ ! requirem5ts "u section 
#bdj4ad;a-#c ( title #ag1 ,code ( ,f$]al
 ,regulations2  7,h7 privacy notices    
meet+ ! requirem5ts ( ,regulation ,s-,p 
"u subp>t ,a ( "p #bdh ( title #ag1     

,code ( ,f$]al ,regulations2  7,i7      
affiliate m>ket+ notices meet+ !        
requirem5ts ( ,regulation ,s-,,am "u    
subp>t ,b ( "p #bdh ( title #ag1 ,code (
 ,f$]al ,regulations2 &  7,j7 all o!r   
regulatory docum5ts requir$ to be       
deliv]$ by cov]$ entities to inve/ors "u
 ! securities laws & ! rules &          
regulations ( ! ,commission & !         
self-regulatory organizations4  7#e7    
,securities laws ,! t]m securities laws 
has ! mean+ giv5 ! t]m 9 section #c7;a7 
( ! ,securities ,ex*ange ,act ( #aicd   
7#ae ,u4,s4,c4 #gh;c7a774  7#f7         
,self-regulatory organization ,! t]m    
self-regulatory organization means--    
7,a7 a self-regulatory organization1 z  
def9$ 9 section #b7;a77#bf7 ( !         
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a772 &  7,b7 !          
,municipal ,securities ,rulemak+ ,bo>d4 
7#g7 ,website ,! t]m website means an   
int]net website or o!r digital1 int]net1
 or electronic-bas$ in=mation           
repository1 su* z a mobile application1 

to :i* an inve/or ( a cov]$ entity has  
be5 provid$ reasonable access4  ,,iii   
,help+ ,/>tups ,cont9ue ,to ,gr[  #acja4
 ,%ort title ,?is title may be cit$ z ! 
,help+ ,/>tups ,cont9ue ,to ,gr[ ,act4  
#acjb4 ,em]g+ gr[? company crit]ia  7a7 
,securities ,act ( #aicc ,section       
#b7;a77#ai7 ( ! ,securities ,act ( #aicc
 7#ae ,u4,s4,c4 #gg;b7a77#ai77 is       
am5d$-- 7#a7 by /rik+ #a1jjj1jjj1jjj ea*
 place su* t]m appe>s & ins]t+          
#a1ejj1jjj1jjj2  7#b7 9 subp>agraph     
7,b7-- 7,a7 by /rik+ fif? & ins]t+      
#g-ye>2 &  7,b7 by add+ or at ! end2    
7#c7 9 subp>agraph 7,c71 by /rik+ 2 or &
 ins]t+ a p]iod2 &  7#d7 by /rik+       
subp>agraph 7,d74  7b7 ,securities      
,ex*ange ,act ( #aicd ,section #c7;a7 ( 
! ,securities ,ex*ange ,act ( #aicd 7#ae
 ,u4,s4,c4 #gh;c7a77 is am5d$1 9 ! fir/ 
p>agraph 7#hj7 7relat$ to em]g+ gr[?    
companies7-- 7#a7 by /rik+              
#a1jjj1jjj1jjj ea* place su* t]m appe>s 
& ins]t+ #a1ejj1jjj1jjj2  7#b7 9        
subp>agraph 7,b7-- 7,a7 by /rik+ fif? & 

ins]t+ #g-ye>2 &  7,b7 by add+ or at !  
end2  7#c7 9 subp>agraph 7,c71 by /rik+ 
2 or & ins]t+ a p]iod2 &  7#d7 by /rik+ 
subp>agraph 7,d74  ,,iv ,,sec & ,,pcaob 
,auditor ,requirem5ts = ,newly ,public  
,companies  #adja4 ,auditor indep5d5ce =
 c]ta9 pa/ audits occurr+ be=e an issu] 
is a public company  7a7 ,auditor       
indep5d5ce /&>ds ( ! ,public ,company   
,acc\nt+ ,ov]sight ,bo>d ,section #ajc (
 ! ,s>banes-,oxley ,act ( #bjjb 7#ae    
,u4,s4,c4 #gbac7 is am5d$ by add+ at !  
end ! foll[+3  7e7 ,auditor indep5d5ce =
 c]ta9 pa/ audits occurr+ be=e an issu] 
is a public company ,) respect to an    
issu] t is a public company or an issu] 
t has fil$ a regi/ration /atem5t to     
become a public company1 ! auditor      
indep5d5ce rules e/abli%$ by ! ,bo>d )  
respect to audits occurr+ be=e ! la/    
fiscal ye> ( ! issu] complet$ be=e !    
issu] fil$ a regi/ration /atem5t to     
become a public company %all treat an   
auditor z indep5d5t if-- 7#a7 ! auditor 
is indep5d5t "u /&>ds e/abli%$ by !     

,am]ican ,in/itute ( ,c]tifi$ ,public   
,acc\ntants applicable to c]tifi$ public
 acc\ntants 9 ,unit$ ,/ates2 or  7#b7 ) 
respect to a =eign issu]1 ! auditor is  
indep5d5t "u comp>able /&>ds applicable 
to c]tifi$ public acc\ntants 9 ! issu]'s
 home c\ntry4  4  7b7 ,auditor          
indep5d5ce /&>ds ( ! ,securities &      
,ex*ange ,commission ,section #aj;,a ( !
 ,securities ,ex*ange ,act ( #aicd 7#ae 
,u4,s4,c4 #gh;j-#a7 is am5d$ by add+ at 
! end ! foll[+3  7n7 ,auditor indep5d5ce
 = c]ta9 pa/ audits occurr+ be=e an     
issu] is a public company ,) respect to 
an issu] t is a public company or an    
issu] t has fil$ a regi/ration /atem5t  
to become a public company1 ! auditor   
indep5d5ce rules e/abli%$ by !          
,commission "u ! securities laws )      
respect to audits occurr+ be=e ! la/    
fiscal ye> ( ! issu] complet$ be=e !    
issu] fil$ a regi/ration /atem5t to     
become a public company %all treat an   
auditor z indep5d5t if-- 7#a7 ! auditor 
is indep5d5t "u /&>ds e/abli%$ by !     

,am]ican ,in/itute ( ,c]tifi$ ,public   
,acc\ntants applicable to c]tifi$ public
 acc\ntants 9 ,unit$ ,/ates2 or  7#b7 ) 
respect to a =eign issu]1 ! auditor is  
indep5d5t "u comp>able /&>ds applicable 
to c]tifi$ public acc\ntants 9 ! issu]'s
 home c\ntry4  4  ,v ,exp& ! ,protection
 = ,rese>* ,reports to ,cov] ,all       
,securities ( ,all ,issu]s  #aeja4      
,provision ( rese>* ,section #b7;a77#c7 
( ! ,securities ,act ( #aicc 7#ae       
,u4,s4,c4 #gg;b7a77#c77 is am5d$-- 7a7  
by /rik+ an em]g+ gr[? company & ins]t+ 
an issu]2  7b7 by /rik+ ! common equity 
& ins]t+ any2 &  7c7 by /rik+ su* em]g+ 
gr[? company & ins]t+ su* issu]4  ,,vi  
,codify ,mi,f,i,d ,no ,action ,lett]    
#afja4 ,def9ition ( inve/m5t advis]     
am5d$ to exclude brok]s & deal]s        
comp5sat$ = c]ta9 rese>* s]vices        
,section #bjb7;a77#aa7 ( ! ,inve/m5t    
,advis]s ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;b-#b7;a77#aa77 is am5d$-- 7#a7 by   
/rik+ 7,c7 any & ins]t+ 7,c77i7 any2    
7#b7 by /rik+ deal] & :o receives &     

ins]t+ deal]2 & 7ii77,i7 :o receives2 & 
7#c7 by ins]t+ 2 or 7,,ii7 :o receives  
special comp5sation = rese>* s]vices 7z 
describ$ 9 section #bh7;e77#a7 ( !      
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;bb7e77#a777 f a cli5t t is
 directly or indirectly requir$ z a     
result ( laws ( a =eign f9ancial        
regulatory au?ority to pay special      
comp5sation = su* s]vices aft]          
comp5sation !re=4  ,,vii ,exclude       
,q,i,bs & ,i,a,as f ! ,record ,hold]    
,c\nt = ,m&atory ,regi/ration  #agja4   
,exclusions f m&atory regi/ration       
?re%old  7a7 ,9 g5]al ,section          
#ab7;g77#a7 ( ! ,securities ,ex*ange    
,act ( #aicd 7#ae ,u4,s4,c4 #ghl7g77#a77
 is am5d$-- 7#a7 9 subp>agraph 7,a77i71 
by ins]t+ aft] p]sons ! foll[+3 7t are n
 a qualifi$ in/itutional buy] or an     
in/itutional accr$it$ inve/or72 &  7#b7 
9 subp>agraph 7,b71 by ins]t+ aft]      
p]sons ! foll[+3 7t are n a qualifi$    
in/itutional buy] or an in/itutional    
accr$it$ inve/or74  7b7                 

,nonapplicability ( g5]al exemptive     
au?ority ,section #cf ( ! ,securities   
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#ghmm7 %all n apply to ! matt] ins]t$ by
 ! am5dm5ts made by subsection 7a74     
,,viii ,exp& ,,wksi ,eligibility  #ahja4
 ,def9ition ( well-kn[n season$ issu] ,=
 purposes ( ! ,f$]al securities laws1 & 
regulations issu$ !reund]1 an issu] %all
 be a well-kn[n season$ issu] if-- 7#a7 
! aggregate m>ket value ( ! vot+ &      
non-vot+ common equity held by          
non-affiliates ( ! issu] is #bej1jjj1jjj
 or m 7z det]m9$ "u ,=m ,s-#c g5]al     
in/ruction ,i4,b4#a4 z 9 effect on !    
date ( enactm5t ( ?is ,act72 &  7#b7 !  
issu] o!rwise satisfies ! requirem5ts ( 
! def9ition ( well-kn[n season$ issu]   
conta9$ 9 section #bcj4dje ( title #ag1 
,code ( ,f$]al ,regulations )\t ref]5ce 
to any requirem5t 9 su* def9ition relat+
 to m9imum worldwide m>ket value (      
out/&+ vot+ & non-vot+ common equity    
held by non-affiliates4  ,,ix ,small]   
report+ company1 accel]at$ fil]1 & l>ge 

accel]at$ fil] ?re%olds  #aija4 ,small] 
report+ company1 accel]at$ fil]1 & l>ge 
accel]at$ fil] ?re%olds  7a7 ,small]    
report+ companies  7#a7 ,9 g5]al ,!     
,securities & ,ex*ange ,commission %all 
revise ! def9ition ( a small] report+   
company "u section #bbi4aj7;f77#a7 (    
title #ag1 ,code ( ,f$]al ,regulations--
 7,a7 9 p>agraph 7i71 by adju/+ ! public
 float ?re%old f #bej1jjj1jjj to        
#ejj1jjj1jjj2 &  7,b7 9 p>agraph 7ii7-- 
7i7 by adju/+ ! annual rev5ue ?re%old f 
#ajj1jjj1jjj to #bej1jjj1jjj2 &  7ii7 9 
p>agraph 7,b71 by adju/+ ! public float 
?re%old f #gjj1jjj1jjj to #ijj1jjj1jjj4 
7#b7 ,use ( ?ree-ye> roll+ av]age annual
 rev5ues ,! ,securities & ,ex*ange      
,commission %all revise p>agraphs       
7#a77;ii7 & 7#b77;iii77,b7 "u !         
def9ition ( small] report+ company "u   
section #bbi4aj7;f77#a7 ( title #ag1    
,code ( ,f$]al ,regulations1 by         
sub/itut+ ?ree-ye> roll+ av]age annual  
rev5ues = annual rev5ues4  7#c7 ,con=m+ 
*anges ,! ,securities & ,ex*ange        

,commission %all revise ! def9ition ( a 
small] report+ company "u sections      
#bcj4dje & #bdj4ab;b-#b ( title #ag1    
,code ( ,f$]al ,regulations1 & any o!r  
rule ( ! ,commission 9 ! same mann] z   
su* def9ition is revis$ "u p>agraphs    
7#a7 & 7#b74  7b7 ,accel]at$ fil]s &    
l>ge accel]at$ fil]s  7#a7 ,l>ge        
accel]at$ fil] ,! ,securities & ,ex*ange
 ,commission %all revise ! def9ition ( a
 l>ge accel]at$ fil] "u section         
#bdj4ab;b-#b7b7 ( title #ag1 ,code (    
,f$]al ,regulations1 to increase !      
?re%old am\nt 7= ! aggregate worldwide  
m>ket value ( ! vot+ & non-vot+ common  
equity held by non-affiliates ( an      
issu]7 f #gjj1jjj1jjj to #gej1jjj1jjj4  
7#b7 ,?re%old to exit accel]at$ fil]    
/atus ,! ,securities & ,ex*ange         
,commission %all revise section         
#bdj4ab;b-#b7c77;ii7 ( title #ag1 ,code 
( ,f$]al ,regulations1 to increase !    
?re%old am\nt 7= ! aggregate worldwide  
m>ket value ( ! vot+ & non-vot+ common  
equity held by non-affiliates ( an      

issu]7 at :i* an issu] is no long] an   
accel]at$ fil] f #fj1jjj1jjj to         
#ge1jjj1jjj4  7#c7 ,?re%old to exit l>ge
 accel]at$ fil] /atus ,! ,securities &  
,ex*ange ,commission %all revise section
 #bdj4ab;b-#b7c77;iii7 ( title #ag1     
,code ( ,f$]al ,regulations1 to increase
 ! ?re%old am\nt 7= ! aggregate         
worldwide m>ket value ( ! vot+ &        
non-vot+ common equity held by          
non-affiliates ( an issu]7 at :i* an    
issu] is no long] a l>ge accel]at$ fil] 
f #efj1jjj1jjj to #gej1jjj1jjj4  7#d7   
,exclusion ( small] report+ companies ,!
 ,securities & ,ex*ange ,commission %all
 revise ! def9itions ( an accel]at$ fil]
 & a l>ge accel]at$ fil] "u p>agraphs   
7#a7 & 7#b7 ( section #bdj4ab;b-#b (    
title #ag1 ,code ( ,f$]al ,regulations1 
respectively1 to exclude any issu] t is 
a small] report+ company1 z def9$ "u    
section #bbi4aj7;f77#a7 ( title #ag1    
,code ( ,f$]al ,regulations4  ,b ,help+ 
,small ,bus9esses & ,entrepr5eurs  ,i   
,unlock+ ,capital = ,small ,bus9esses   

#baja4 ,%ort title ,?is title may be    
cit$ z ! ,unlock+ ,capital = ,small     
,bus9esses ,act ( #bjbc4  #bajb4 ,safe  
h>bors = private placem5t brok]s & f9d]s
  7a7 ,9 g5]al ,section #ae ( !         
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gho7 is am5d$ by add+ at !   
end ! foll[+3  7p7 ,private placem5t    
brok] safe h>bor  7#a7 ,regi/ration     
requirem5ts ,n lat] ?an #ahj days aft] !
 date ( ! enactm5t ( ?is subsection !   
,commission %all promulgate regulations 
) respect to private placem5t brok]s t  
are no m /r+5t ?an ^? impos$ on fund+   
portals4  7#b7 ,national securities     
associations ,n lat] ?an #ahj days aft] 
! date ( ! enactm5t ( ?is subsection !  
,commission %all promulgate regulations 
t require ! rules ( any national        
securities association to all[ a private
 placem5t brok] to become a memb] ( su* 
national securities association subject 
to r$uc$ memb]%ip requirem5ts consi/5t )
 ?is subsection4  7#c7 ,disclosures     
requir$ ,be=e effect+ a transaction1 a  

private placem5t brok] %all disclose    
cle>ly & conspicu\sly1 9 writ+1 to all  
p>ties to ! transaction z a result ( !  
brok]'s activities-- 7,a7 t ! brok] is  
act+ z a private placem5t brok]2  7,b7 !
 am\nt ( any paym5t or anticipat$ paym5t
 = s]vices r5d]$ z a private placem5t   
brok] 9 connection ) su* transaction2   
7,c7 ! p]son to :om any su* paym5t is   
made2  7,d7 any b5eficial int]e/ 9 !    
issu]1 direct or indirect1 ( ! private  
placem5t brok]1 ( a memb] ( ! imm$iate  
family ( ! private placem5t brok]1 ( an 
associat$ p]son ( ! private placem5t    
brok]1 or ( a memb] ( ! imm$iate family 
( su* associat$ p]son4  7#d7 ,private   
placem5t brok] def9$ ,9 ?is subsection1 
! t]m private placem5t brok] means a    
p]son t-- 7,a7 receives transaction-bas$
 comp5sation-- 7i7 = effect+ a          
transaction by-- 7,i7 introduc+ an issu]
 ( securities & a buy] ( su* securities 
9 connection ) ! sale ( a bus9ess       
effect$ z ! sale ( securities2 or       
7,,ii7 introduc+ an issu] ( securities &

 a buy] ( su* securities 9 connection ) 
! placem5t ( securities 9 transactions t
 are exempt f regi/ration requirem5ts "u
 ! ,securities ,act ( #aicc2 &  7ii7 t  
is n ) respect to-- 7,i7 a class (      
publicly trad$ securities2  7,,ii7 !    
securities ( an inve/m5t company 7z     
def9$ 9 section #c ( ! ,inve/m5t        
,company ,act ( #aidj72 or  7,,iii7 a   
v>iable or equity-index$ annuity or o!r 
v>iable or equity-index$ life insurance 
product2  7,b7 ) respect to a           
transaction = :i* su* transaction-bas$  
comp5sation is receiv$-- 7i7 does n h&le
 or take possession ( ! funds or        
securities2 &  7ii7 does n engage 9 an  
activity t requires regi/ration z an    
inve/m5t advis] "u ,/ate or ,f$]al law2 
&  7,c7 is n a f9d] z def9$ "u          
subsection 7q74  7q7 ,f9d] safe h>bor   
7#a7 ,nonregi/ration ,a f9d] is exempt f
 ! regi/ration requirem5ts ( ?is ,act4  
7#b7 ,national securities associations  
,a f9d] %all n be requir$ to become a   
memb] ( any national securities         

association4  7#c7 ,f9d] def9$ ,9 ?is   
subsection1 ! t]m f9d] means a p]son    
describ$ 9 p>agraphs 7,a7 & 7,b7 (      
subsection 7p77#d7 t-- 7,a7 receives    
transaction-bas$ comp5sation ( equal to 
or less ?an #ejj1jjj 9 any cal5d> ye>2  
7,b7 receives transaction-bas$          
comp5sation 9 connection ) transactions 
t result 9 a s+le issu] sell+ securities
 valu$ at equal to or less ?an #ae      
million 9 any cal5d> ye>2  7,c7 receives
 transaction-bas$ comp5sation 9         
connection ) transactions t result 9 any
 comb9ation ( issu]s sell+ securities   
valu$ at equal to or less ?an #cj       
million 9 any cal5d> ye>2 or  7,d7      
receives transaction-bas$ comp5sation 9 
connection ) few] ?an #af transactions t
 are n "p ( ! same (f]+ or are o!rwise  
unrelat$ 9 any cal5d> ye>4  4  7b7      
,validity ( contracts ) regi/]$ private 
placem5t brok]s & f9d]s ,section #bi ( !
 ,securities ,ex*ange ,act ( #aicd 7#ae 
,u4,s4,c4 #gh;cc7 is am5d$ by add+ at ! 
end ! foll[+3  7d7 ,subsection 7b7 %all 

n apply to a contract made = a          
transaction if-- 7#a7 ! transaction is  
"o 9 :i* ! issu] engag$ ! s]vices ( a   
brok] or deal] t is n regi/]$ "u ?is    
,act ) respect to su* transaction2  7#b7
 su* issu] receiv$ a self-c]tification f
 su* brok] or deal] c]tify+ t su* brok] 
or deal] is a regi/]$ private placem5t  
brok] "u section #ae7p7 or a f9d] "u    
section #ae7q72 &  7#c7 ! issu] ei!r did
 n "k t su* self-c]tification 0 false or
 did n h a reasonable basis to believe t
 su* self-c]tification 0 false4  4  7c7 
,removal ( private placem5t brok]s f    
def9itions ( brok]  7#a7 ,records &     
reports on monet>y in/rum5ts            
transactions ,section #ecab ( title #ca1
 ,unit$ ,/ates ,code1 is am5d$ 9        
subsection 7a77#b77;,g7 by ins]t+ ) !   
exception ( a private placem5t brok] z  
def9$ 9 section #ae7p77#d7 ( !          
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gho7p77#d77 be=e ! semicolon 
at ! end4  7#b7 ,securities ,ex*ange    
,act ( #aicd ,section #c7;a77#d7 ( !    

,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a77#d77 is am5d$ by add+
 at ! end ! foll[+3  7,g7 ,private      
placem5t brok]s ,a private placem5t     
brok] z def9$ 9 section #ae7p77#d7 is n 
a brok] = ! purposes ( ?is ,act4  4     
#bajc4 ,limitations on ,/ate law        
,section #ae7;i7 ( ! ,securities        
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gho7i77 is am5d$-- 7#a7 by r$esignat+  
p>agraphs 7#c7 & 7#d7 z p>agraphs 7#d7 &
 7#e71 respectively2  7#b7 by ins]t+    
aft] p>agraph 7#b7 ! foll[+3  7#c7      
,private placem5t brok]s & f9d]s  7,a7  
,9 g5]al ,no ,/ate or political         
subdivision !re( may en=ce any law1     
rule1 regulation1 or o!r adm9i/rative   
action t imposes great] regi/ration1    
audit1 f9ancial recordkeep+1 or report+ 
requirem5ts on a private placem5t brok] 
or f9d] ?an ^? t are requir$ "u         
subsections 7p7 & 7q71 respectively4    
7,b7 ,def9ition ( ,/ate ,= purposes (   
?is p>agraph1 ! t]m ,/ate includes !    
,di/rict ( ,columbia & ea* t]ritory ( ! 

,unit$ ,/ates4  2 &  7#c7 9 p>agraph    
7#d71 z s r$esignat$1 by /rik+ p>agraph 
7#c7 & ins]t+ p>agraph 7#e74  ,,ii      
,small ,bus9ess ,inve/or ,capital       
,access  #bbja4 ,%ort title ,?is title  
may be cit$ z ! ,small ,bus9ess ,inve/or
 ,capital ,access ,act4  #bbjb4         
,inflation adju/m5t = ! exemption       
?re%old = c]ta9 inve/m5t advis]s (      
private funds ,section #bjc7m7 ( !      
,inve/m5t ,advis]s ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;b-#c7m77 is am5d$ by add+ 
at ! end ! foll[+3  7#e7 ,inflation     
adju/m5t ,! ,commission %all adju/ !    
doll> am\nt describ$ "u p>agraph 7#a7-- 
7,a7 ^u enactm5t ( ?is p>agraph1 to     
reflect ! *ange 9 ! ,consum] ,price     
,index = ,all ,urban ,consum]s publi%$  
by ! ,bureau ( ,labor ,/ati/ics ( !     
,dep>tm5t ( ,labor betwe5 ! date (      
enactm5t ( ! ,private ,fund ,inve/m5t   
,advis]s ,regi/ration ,act ( #bjaj & !  
date ( enactm5t ( ?is p>agraph2 &  7,b7 
annually !reaft]1 to reflect ! *ange 9 !
 ,consum] ,price ,index = ,all ,urban   

,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics ( ! ,dep>tm5t ( ,labor4  4    
,,iii ,improv+ ,capital ,allocation =   
,newcom]s  #bcja4 ,%ort title ,?is title
 may be cit$ z ! ,improv+ ,capital      
,allocation = ,newcom]s ,act ( #bjbc4   
#bcjb4 ,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$-- 7#a7 9 !   
matt] prec$+ subp>agraph 7,a71 by /rik+ 
#bej p]sons & ins]t+ #fjj p]sons2 &     
7#b7 9 subp>agraph 7,c77i71 by /rik+    
#aj1jjj1jjj & ins]t+ #aej1jjj1jjj4  ,,iv
 ,small ,entrepr5eurs' ,emp[]m5t &      
,developm5t  #bdja4 ,%ort title ,?is    
title may be cit$ z ! ,small            
,entrepr5eurs' ,emp[]m5t & ,developm5t  
,act ( #bjbc or ! ,,se$ ,act ( #bjbc4   
#bdjb4 ,micro-(f]+ exemption  7a7 ,9    
g5]al ,section #d ( ! ,securities ,act (
 #aicc 7#ae ,u4,s4,c4 #gg;d7 is am5d$-- 
7#a7 9 subsection 7a71 by add+ at ! end 
! foll[+3  7#h7 transactions meet+ !    
requirem5ts ( subsection 7f74  2 &  7#b7

 by add+ at ! end ! foll[+3  7f7        
,micro-,(f]+s ,! transactions ref]r$ to 
9 subsection 7a77#h7 are transactions   
involv+ ! sale ( securities by an issu] 
7includ+ all entities controll$ by or "u
 common control ) ! issu]7 :]e !        
aggregate am\nt ( all securities sold by
 ! issu]1 includ+ any am\nt sold 9      
reliance on ! exemption provid$ "u      
subsection 7a77#h71 dur+ ! #ab-mon?     
p]iod prec$+ su* transaction1 does n    
exce$ #bej1jjj4  4  7b7                 
,disqualification  7#a7 ,9 g5]al ,n lat]
 ?an #bgj days aft] ! date ( enactm5t ( 
?is ,act1 ! ,securities & ,ex*ange      
,commission %all1 by rule1 e/abli%      
disqualification provisions "u :i* an   
issu] %all n be eligible to (f]         
securities pursuant to section          
#d7;a77#h7 ( ! ,securities ,act ( #aicc1
 z add$ by ?is section4  7#b7           
,inclusions ,disqualification provisions
 requir$ by ?is subsection %all-- 7,a7  
be sub/antially simil> to ! provisions (
 section #bcj4ejf7;d7 ( title #ag1 ,code

 ( ,f$]al ,regulations 7or any successor
 !reto72 &  7,b7 disqualify any (f]+ or 
sale ( securities by a p]son t-- 7i7 is 
subject to a f9al ord] ( a cov]$        
regulator t-- 7,i7 b>s ! p]son f-- 7aa7 
association ) an entity regulat$ by !   
cov]$ regulator2  7bb7 engag+ 9 !       
bus9ess ( securities1 insurance1 or     
bank+2 or  7cc7 engag+ 9 sav+s          
association or cr$it union activities2  
or  7,,ii7 con/itutes a f9al ord] bas$  
on a violation ( any law or regulation t
 prohibits fraudul5t1 manipulative1 or  
deceptive conduct1 if su* f9al ord] 0   
issu$ )9 ! previ\s #aj-ye> p]iod2 or    
7ii7 has be5 convict$ ( any felony or   
misdemeanor 9 connection ) ! pur*ase or 
sale ( any security or involv+ ! mak+ ( 
any false fil+ ) ! ,commission4  7#c7   
,cov]$ regulator def9$ ,9 ?is           
subsection1 ! t]m cov]$ regulator       
means-- 7,a7 a ,/ate securities         
commission 7or an ag5cy or (fic] ( a    
,/ate p]=m+ l functions72  7,b7 a ,/ate 
au?ority t sup]vises or exam9es banks1  

sav+s associations1 or cr$it unions2    
7,c7 a ,/ate insurance commission 7or an
 ag5cy or (fic] ( a ,/ate p]=m+ l       
functions72  7,d7 a ,f$]al bank+ ag5cy  
7z def9$ "u section #c ( ! ,f$]al       
,deposit ,insurance ,act72 &  7,e7 !    
,national ,cr$it ,union ,adm9i/ration4  
7c7 ,exemption "u ,/ate regulations     
,section #ah7;b77#d7 ( ! ,securities    
,act ( #aicc 7#ae ,u4,s4,c4 #ggr7b77#d77
 is am5d$-- 7#a7 9 subp>agraph 7,f71 by 
/rik+ or at ! end2  7#b7 9 subp>agraph  
7,g71 by /rik+ ! p]iod & ins]t+ 2 or2 & 
7#c7 by add+ at ! end ! foll[+3  7,h7   
section #d7;a77#h74  4  ,v ,regulation  
,a ,improvem5t  #beja4 ,%ort title ,?is 
title may be cit$ z ! ,regulation ,a    
,improvem5t ,act ( #bjbc4  #bejb4 ,,jobs
 ,act-relat$ exemption ,section #c7;b7 (
 ! ,securities ,act ( #aicc 7#ae        
,u4,s4,c4 #gg;c7b77 is am5d$-- 7#a7 9   
p>agraph 7#b77;,a71 by /rik+ #ej1jjj1jjj
 & ins]t+ #aej1jjj1jjj1 adju/$ =        
inflation by ! ,commission e #b ye>s to 
! ne>e/ #aj1jjj to reflect ! *ange 9 !  

,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics2 &  7#b7 9 p>agraph 7#e7--    
7,a7 by /rik+ su* am\nt z & ins]t+3 su* 
am\nt1 9 addition to ! adju/m5t =       
inflation provid$ = "u su* p>agraph     
7#b77;,a71 z2 &  7,b7 by /rik+ su*      
am\nt1 x & ins]t+ su* am\nt1 9 addition 
to ! adju/m5t = inflation provid$ = "u  
su* p>agraph 7#b77;,a71 x4  ,,vi        
,develop+ & ,emp[]+ our ,aspir+ ,lead]s 
#bfja4 ,%ort title ,?is title may be    
cit$ z ! ,develop+ & ,emp[]+ our ,aspir+
 ,lead]s ,act ( #bjbc or ! ,,deal ,act (
 #bjbc4  #bfjb4 ,def9itions ,n lat] ?an 
! end ( ! #ahj-;day p]iod beg9n+ on !   
date ( ! enactm5t ( ?is ,act1 !         
,securities & ,ex*ange ,commission %all1
 to ! ext5t su* revisions facilitate    
capital =mation )\t compromis+ inve/or  
protection-- 7#a7 revise ! def9ition ( a
 qualify+ inve/m5t "u p>agraph 7c7 (    
section #bge4bjc7l7-#a ( title #ag1     
,code ( ,f$]al ,regulations-- 7,a7 to   
include an equity security issu$ by a   

qualify+ portfolio company1 :e!r acquir$
 directly f ! company or 9 a second>y   
acquisition2 &  7,b7 to specify t an    
inve/m5t 9 ano!r v5ture capital fund is 
a qualify+ inve/m5t "u su* def9ition2 & 
7#b7 revise p>agraph 7a7 ( su* section  
to require1 z a condition ( a private   
fund qualify+ z a v5ture capital fund "u
 su* p>agraph1 t ! qualify+ inve/m5ts ( 
! private fund are ei!r-- 7,a7          
pr$om9antly qualify+ inve/m5ts t 7      
acquir$ directly f a qualify+ portfolio 
company2 or  7,b7 pr$om9antly qualify+  
inve/m5ts 9 ano!r v5ture capital fund or
 o!r v5ture capital funds4  #bfjc4      
,reports  7a7 ,,gao report ,!           
,comptroll] ,g5]al ( ! ,unit$ ,/ates    
%all issue a report to ,congress on !   
risks & impacts ( conc5trat$ sectoral   
c\nt]p>ty risk 9 ! bank+ sector1 9 light
 ( ! failure ( ,silicon ,valley ,bank4  
7b7 ,advocate = ,small ,bus9ess ,capital
 ,=mation report ,! ,advocate = ,small  
,bus9ess ,capital ,=mation %all issue a 
report to ,congress & ! ,securities &   

,ex*ange ,commission-- 7#a7 exam9+ !    
access to bank+ s]vices = v5ture funds &
 companies fund$ by v5ture capital1 9   
light ( ! failure ( ,silicon ,valley    
,bank1 especially ^? funds & companies  
locat$ outside ( ! e/abli%$ te*nology & 
v5ture capital hubs ( ,cali=nia1        
,massa*usetts1 & ,new ,york2 &  7#b7    
conta9+ any policy recomm5dations ( !   
,advocate4  ,,vii ,help+ ,angels ,lead  
,our ,/>tups  #bgja4 ,%ort title ,?is   
title may be cit$ z ! ,help+ ,angels    
,lead ,our ,/>tups ,act ( #bjbc or !    
,,halos ,act ( #bjbc4  #bgjb4           
,cl>ification ( g5]al solicitation  7a7 
,def9itions ,= purposes ( ?is title & ! 
revision ( rules requir$ "u ?is title3  
7#a7 ,angel inve/or gr\p ,! t]m angel   
inve/or gr\p means any gr\p t-- 7,a7 is 
compos$ ( accr$it$ inve/ors int]e/$ 9   
inve/+ p]sonal capital 9 e>ly-/age      
companies2  7,b7 holds regul> meet+s &  
has def9$ processes & proc$ures = mak+  
inve/m5t decisions1 ei!r individually or
 among ! memb]%ip ( ! gr\p z a :ole2 &  

7,c7 is nei!r associat$ nor affiliat$ ) 
brok]s1 deal]s1 or inve/m5t advis]s4    
7#b7 ,issu] ,! t]m issu] means an issu] 
t is a bus9ess1 is n 9 bankruptcy or    
receiv]%ip1 is n an inve/m5t company1 & 
is n a blank *eck1 bl9d pool1 or %ell   
company4  7b7 ,9 g5]al ,n lat] ?an #f   
mon?s aft] ! date ( enactm5t ( ?is ,act1
 ! ,securities & ,ex*ange ,commission   
%all revise ,regulation ,d ( its rules  
7#ag ,,cfr #bcj4ejj et seq47 to require 
t 9 c>ry+ out ! prohibition aga9/ g5]al 
solicitation or g5]al adv]tis+ conta9$ 9
 section #bcj4ejb7;c7 ( title #ag1 ,code
 ( ,f$]al ,regulations1 ! prohibition   
%all n apply to a pres5tation or o!r    
communication made by or on behalf ( an 
issu] :i* is made at an ev5t-- 7#a7     
sponsor$ by-- 7,a7 ! ,unit$ ,/ates or   
any t]ritory !re(1 ! ,di/rict (         
,columbia1 any ,/ate1 a political       
subdivision ( any ,/ate or t]ritory1 or 
any ag5cy or public in/rum5tality ( any 
( ! =ego+2  7,b7 a college1 univ]sity1  
or o!r in/itution ( high] education2    

7,c7 a nonpr(it organization2  7,d7 an  
angel inve/or gr\p2  7,e7 a v5ture =um1 
v5ture capital association1 or trade    
association2  7,f7 an incubator2  7,g7  
an accel]ator2 or  7,h7 any o!r gr\p1   
p]son1 or entity z ! ,securities &      
,ex*ange ,commission may det]m9e by     
rule2  7#b7 :]e any adv]tis+ = ! ev5t   
does n ref]5ce any specific (f]+ (      
securities by ! issu]2  7#c7 ! sponsor (
 :i*-- 7,a7 does n make inve/m5t        
recomm5dations or provide inve/m5t      
advice to ev5t att5dees2  7,b7 does n   
engage 9 an active role 9 any inve/m5t  
negotiations betwe5 ! issu] & inve/ors  
att5d+ ! ev5t2  7,c7 does n *>ge ev5t   
att5dees any fees o!r ?an reasonable    
adm9i/rative fees2  7,d7 does n receive 
any comp5sation = mak+ introductions    
betwe5 inve/ors att5d+ ! ev5t & issu]s1 
or = inve/m5t negotiations betwe5 su*   
p>ties2  7,e7 makes readily available to
 att5dees a disclosure n long] ?an "o   
page 9 l5g?1 z prescrib$ by !           
,securities & ,ex*ange ,commission1     

describ+ ! nature ( ! ev5t & ! risks (  
inve/+ 9 ! issu]s pres5t+ at ! ev5t2 &  
7,f7 does n receive any comp5sation )   
respect to su* ev5t t w\ld require      
regi/ration ( ! sponsor z a brok] or a  
deal] "u ! ,securities ,ex*ange ,act (  
#aicd1 or z an inve/m5t advisor "u !    
,inve/m5t ,advis]s ,act ( #aidj2 &  7#d7
 :]e no specific in=mation reg>d+ an    
(f]+ ( securities by ! issu] is         
communicat$ or di/ribut$ by or on behalf
 ( ! issu]1 o!r ?an-- 7,a7 t ! issu] is 
9 ! process ( (f]+ securities or plann+ 
to (f] securities2  7,b7 ! type & am\nt 
( securities be+ (f]$2  7,c7 ! am\nt (  
securities be+ (f]$ t h already be5     
subscrib$ =2 &  7,d7 ! int5d$ use (     
proce$s ( ! (f]+4  7c7 ,rule (          
con/ruction ,subsection 7b7 may only be 
con/ru$ z requir+ ! ,securities &       
,ex*ange ,commission to am5d !          
requirem5ts ( ,regulation ,d ) respect  
to pres5tations & communications1 & n ) 
respect to pur*ases or sales4  7d7 ,no  
pre-,exi/+ sub/antive relation%ip by    

reason ( ev5t ,att5dance at an ev5t     
describ$ "u subsection 7b7 %all n       
qualify1 by itself1 z e/abli%+ a        
pre-exi/+ sub/antive relation%ip betwe5 
an issu] & a pur*as]1 = purposes ( ,rule
 #ejf7;b74  #bgjc4 ,re/rictions on new  
fil+ requirem5ts 9 connection ) a g5]al 
solicitation ,) respect to any (f] or   
sale ( a security "u ,regulation ,d 7#ag
 ,,cfr #bcj4ejj et seq47 t is exempt f !
 prohibition aga9/ g5]al solicitation or
 g5]al adv]tis+ conta9$ 9 section       
#bcj4ejb7;c7 ( title #ag1 ,code ( ,f$]al
 ,regulations1 ! ,securities & ,ex*ange 
,commission may n issue any rule t w\ld 
apply additional fil+ requirem5ts       
7includ+ requirem5ts to file in=mation )
 ! ,commission be=e or aft] a g5]al     
solicitation or g5]al adv]tis+7 to a    
g5]al solicitation or g5]al adv]tis+ (  
su* a security t 7 n 9 effect on ! date 
( enactm5t ( ?is ,act4  ,,viii ,improv+ 
,cr[dfund+ ,opportunities  #bhja4 ,%ort 
title ,?is title may be cit$ z !        
,improv+ ,cr[dfund+ ,opportunities ,act4

  #bhjb4 ,cr[dfund+ revisions  7a7      
,exemption f ,/ate regulation ,section  
#ah7;b77#d77;,a7 ( ! ,securities ,act ( 
#aicc 7#ae ,u4,s4,c4 #ggr7b77#d77;,a77  
is am5d$ by /rik+ pursuant to section & 
all t foll[s ?r\gh ! semicolon at ! end 
& ins]t+ ! foll[+3 8pursuant to--  7i7  
section #ac or #ae7;d7 ( ! ,securities  
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#ghm1 #gho7d772 or  7ii7 section        
#d;,a7b7 or any regulation issu$ "u t   
section2  4  7b7 ,liability = mat]ial   
mis/atem5ts & omissions ,section        
#d;,a7c7 ( ! ,securities ,act ( #aicc   
7#ae ,u4,s4,c4 #gg;d-#a7;c77 is am5d$-- 
7#a7 by r$esignat+ p>agraph 7#c7 z      
p>agraph 7#d72 &  7#b7 by ins]t+ aft]   
p>agraph 7#b7 ! foll[+3  7#c7 ,liability
 ( fund+ portals ,= ! purposes ( ?is    
subsection1 a fund+ portal1 z t t]m is  
def9$ 9 section #c7;a7 ( ! ,securities  
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gh;c7a771 %all n be consid]$ to be an  
issu] unless1 9 connection ) ! (f] or   
sale ( a security1 ! fund+ portal       

kn[+ly-- 7,a7 makes any untrue /atem5t (
 a mat]ial fact or omits to /ate a      
mat]ial fact 9 ord] to make ! /atem5ts  
made1 9 light ( ! circum/ances "u :i* !y
 are made1 n mislead+2 or  7,b7 engages 
9 any act1 practice1 or c\rse ( bus9ess 
:i* op]ates or w\ld op]ate z a fraud or 
deceit ^u any p]son4  4  7c7            
,applicability ( ,bank ,secrecy ,act    
requirem5ts  7#a7 ,securities ,act (    
#aicc ,section #d;,a7a7 ( ! ,securities 
,act ( #aicc 7#ae ,u4,s4,c4             
#gg;d-#a7;a77 is am5d$-- 7,a7 9 p>agraph
 7#aa71 by /rik+ & at ! end2  7,b7 9    
p>agraph 7#ab71 by /rik+ ! p]iod at !   
end & ins]t+ 2 &2 &  7,c7 by add+ at !  
end ! foll[+3  7#ac7 n be subject to !  
recordkeep+ & report+ requirem5ts relat+
 to monet>y in/rum5ts "u sub*apt] ,,ii (
 *apt] #ec ( title #ca1 ,unit$ ,/ates   
,code4  4  7#b7 ,title #ca1 ,unit$      
,/ates ,code ,section #ecab ( title #ca1
 ,unit$ ,/ates ,code1 is am5d$ by /rik+ 
subsection 7c7 & ins]t+ ! foll[+3  7c7  
,additional cl>ification ,! t]m f9ancial

 in/itution 7z def9$ 9 subsection 7a77--
 7#a7 includes any futures commission   
m]*ant1 commodity trad+ advisor1 or     
commodity pool op]ator regi/]$1 or      
requir$ to regi/]1 "u ! ,commodity      
,ex*ange ,act 7#g ,u4,s4,c4 #a et seq472
 &  7#b7 does n include a fund+ portal1 
z t t]m is def9$ 9 section #c7;a7 ( !   
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a774  4  7d7 ,provision 
( imp]sonal inve/m5t advice &           
recomm5dations ,section #c7;a7 ( !      
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a77 is am5d$-- 7#a7 by  
r$esignat+ ! second p>agraph 7#hj7      
7relat+ to fund+ portals7 z p>agraph    
7#ha72 &  7#b7 9 p>agraph 7#ha77;,a71 z 
s r$esignat$1 by ins]t+ aft]            
recomm5dations ! foll[+3 7o!r ?an by    
provid+ imp]sonal inve/m5t advice by    
means ( writt5 mat]ial1 or an oral      
/atem5t1 t does n purport to meet !     
objectives or ne$s ( a specific         
individual or acc\nt74  7e7 ,t>get      
am\nts ( c]ta9 exempt$ (f]+s ,!         

,securities & ,ex*ange ,commission %all 
am5d p>agraph 7t77#a7 ( section #bbg4bja
 ( title #ag1 ,code ( ,f$]al            
,regulations s t su* p>agraph applies ) 
respect to an issu] (f]+ or sell+       
securities 9 reliance on section        
#d7;a77#f7 ( ! ,securities ,act ( #aicc 
7#ae ,u4,s4,c4 #gg;d7a77#f77 if-- 7#a7 !
 (f]+s ( su* issu]1 toge!r ) all o!r    
am\nts sold "u su* section #d7;a77#f7 )9
 ! prec$+ #ab-mon? p]iod1 h1 9 !        
aggregate1 a t>get am\nt ( m ?an        
#abd1jjj b n m ?an #bej1jjj2  7#b7 !    
f9ancial /atem5ts ( su* issu] t h ei!r  
be5 review$ or audit$ by a public       
acc\ntant t is indep5d5t ( ! issu] are  
unavailable at ! "t ( fil+2 &  7#c7 su* 
issu] provides a /atem5t t f9ancial     
in=mation c]tifi$ by ! pr9cipal         
executive (fic] ( ! issu] has be5       
provid$ in/ead ( f9ancial /atem5ts      
review$ by a public acc\ntant t is      
indep5d5t ( ! issu]4  7f7 ,exemption    
available to inve/m5t companies ,section
 #d;,a7f7 ( ! ,securities ,act ( #aicc  

7#ae ,u4,s4,c4 #gg;d-#a7;f77 is am5d$-- 
7#a7 9 p>agraph 7#b71 by ins]t+ or aft] 
! semicolon2  7#b7 by /rik+ p>agraph    
7#c72 &  7#c7 by r$esignat+ p>agraph    
7#d7 z p>agraph 7#c74  7g7              
,non-,accr$it$ inve/or requirem5ts      
,section #d7;a77#f7 ( ! ,securities ,act
 ( #aicc 7#ae ,u4,s4,c4 #gg;d7a77#f77 is
 am5d$-- 7#a7 9 subp>agraph 7,a71 by    
/rik+ #a1jjj1jjj & ins]t+ #aj1jjj1jjj2 &
  7#b7 9 subp>agraph 7,b71 by /rik+ does
 n exce$ & all t foll[s ?r\gh m ?an     
#ajj1jjj & ins]t+ does n exce$ #aj p]c5t
 ( ! annual income or net wor? ( su*    
inve/or4  7h7 ,te*nical correction ,!   
,securities ,act ( #aicc 7#ae ,u4,s4,c4 
#gg;a et seq47 is am5d$-- 7#a7 by /rik+ 
! t]m section #d7f7 ea* place su* t]m   
appe>s & ins]t+ section #d7;a77#f72 &   
7#b7 by /rik+ ! t]m section #d7f77;,b7  
ea* place su* t]m appe>s & ins]t+       
section #d7;a77#f77;,b74  ,,ix ,re/or+ !
 ,second>y ,trad+ ,m>ket  #bija4 ,%ort  
title ,?is title may be cit$ z ! ,re/or+
 ! ,second>y ,trad+ ,m>ket ,act4  #bijb4

 ,exemption f ,/ate regulation ,section 
#ah7;a7 ( ! ,securities ,act ( #aicc    
7#ae ,u4,s4,c4 #ggr7b77#d77 is am5d$--  
7#a7 9 p>agraph 7#b71 by /rik+ or at !  
end2  7#b7 9 p>agraph 7#c71 by /rik+ !  
p]iod at ! end & ins]t+ 2 or2 &  7#c7 by
 add+ at ! end ! foll[+3  7#d7 %all     
directly or indirectly prohibit1 limit1 
or impose any conditions ^u ! (f-ex*ange
 second>y trad+ 7z su* t]m is def9$ by !
 ,commission7 9 securities ( an issu] t 
makes curr5t in=mation publicly         
available1 includ+-- 7,a7 ! in=mation   
requir$ 9 ! p]iodic & curr5t reports    
describ$ "u p>agraph 7b7 ( section      
#bcj4beg ( title #ag1 ,code ( ,f$]al    
,regulations2 or  7,b7 ! docum5ts &     
in=mation requir$ ) respect to ,ti] #b  
(f]+s1 z def9$ 9 section #bcj4bea7;a7 ( 
title #ag1 ,code ( ,f$]al ,regulations4 
4  ,c ,increas+ ,access to ,private     
,m>kets  ,i ,gig ,work] ,equity         
,comp5sation  #caja4 ,%ort title ,?is   
title may be cit$ z ! ,gig ,work]       
,equity ,comp5sation ,act4  #cajb4      

,ext5sion ( ,rule #gja  7a7 ,9 g5]al ,! 
exemption provid$ "u section #bcj4gja ( 
title #ag1 ,code ( ,f$]al ,regulations1 
%all apply to individuals 7o!r ?an      
employees7 provid+ goods = sale1 labor1 
or s]vices = remun]ation to ei!r an     
issu] or to cu/om]s ( an issu] to ! same
 ext5t z su* exemptions apply to        
employees ( ! issu]4 ,= purposes ( !    
previ\s s5t5ce1 ! t]m cu/om]s may1 at ! 
election ( an issu]1 include us]s ( !   
issu]'s plat=m4  7b7 ,adju/m5t =        
inflation ,! ,securities & ,ex*ange     
,commission %all annually adju/ ! doll> 
figure "u section #bcj4gja7;e7 ( title  
#ag1 ,code ( ,f$]al ,regulations1 to    
reflect ! p]c5tage *ange 9 ! ,consum]   
,price ,index = ,all ,urban ,consum]s   
publi%$ by ! ,bureau ( ,labor ,/ati/ics 
( ! ,dep>tm5t ( ,labor4  7c7 ,rulemak+  
,! ,securities & ,ex*ange ,commission-- 
7#a7 %all revise section #bcj4gja (     
title #ag1 ,code ( ,f$]al ,regulations1 
to reflect ! requirem5ts ( ?is section2 
&  7#b7 may n revise su* section        

#bcj4gja 9 any mann] t w\ld h ! effect (
 re/rict+ access to equity comp5sation =
 employees or individuals describ$ "u   
subsection 7a74  #cajc4 ,preemption (   
c]ta9 provisions ( ,/ate law ,any       
provision ( a ,/ate law ) respect to    
wage rates or b5efits t creates a       
presumption t an individual provid+     
goods = sale1 labor1 or s]vices =       
remun]ation = a p]son is an employee (  
su* p]son "u su* law is preempt$4       
#cajd4 ,,gao /udy ,n lat] ?an ! end ( ! 
#c-ye> p]iod beg9n+ on ! date ( enactm5t
 ( ?is ,act1 ! ,comptroll] ,g5]al ( !   
,unit$ ,/ates %all c>ry out a /udy on ! 
effects ( ?is title & submit a report on
 su* /udy to ! ,congress4  ,,ii         
,inve/m5t ,opportunity ,expansion       
#cbja4 ,%ort title ,?is title may be    
cit$ z ! ,inve/m5t ,opportunity         
,expansion ,act4  #cbjb4 ,inve/m5t      
?re%olds to qualify z an accr$it$       
inve/or ,section #b7;a77#ae7 ( !        
,securities ,act ( #aicc 7#ae ,u4,s4,c4 
#gg;b7a77#ae77 is am5d$-- 7#a7 by /rik+ 

7#ae7 ,! t]m accr$it$ inve/or %all      
mean-- & ins]t+ ! foll[+3  7#ae7        
,accr$it$ inve/or  7,a7 ,9 g5]al ,! t]m 
accr$it$ inve/or means--  2  7#b7 9     
clause 7i71 by /rik+ or at ! end2 &     
7#c7 by add+ at ! end ! foll[+3  7iii7 )
 respect to a propos$ transaction1 any  
individual ^: aggregate inve/m5t1 at !  
completion ( su* transaction1 9         
securities ) respect to :i* !re has n   
be5 a public (f]+ is n m ?an #aj p]c5t (
 ! great] (-- 7,i7 ! net assets ( !     
individual2 or  7,,ii7 ! annual income (
 ! individual2  4  ,,iii ,risk          
,disclosure & ,inve/or ,atte/ation      
#ccja4 ,%ort title ,?is title may be    
cit$ z ! ,risk ,disclosure & ,inve/or   
,atte/ation ,act4  #ccjb4 ,inve/or      
atte/ation  7a7 ,9 g5]al ,section       
#b7;a77#ae7 ( ! ,securities ,act ( #aicc
 7#ae ,u4,s4,c4 #gg;b7a77#ae771 z am5d$ 
by section #cbjb1 is fur!r am5d$ by add+
 at ! end ! foll[+3  7iv7 ) respect to  
an issu]1 any individual t has atte/$ to
 ! issu] t ! individual und]/&s ! risks 

( inve/m5t 9 private issu]s1 us+ su* =m 
z ! ,commission %all e/abli%1 by rule1 b
 :i* =m may n be long] ?an #b pages 9   
l5g?2 or  4  7b7 ,rulemak+ ,n lat] ?an !
 end ( ! #a-ye> p]iod beg9n+ on ! date (
 enactm5t ( ?is ,act1 ! ,securities &   
,ex*ange ,commission %all issue rules to
 c>ry out ! am5dm5ts made by subsection 
7a71 includ+ e/abli%+ ! =m requir$ "u   
su* am5dm5ts4  ,,iv ,increas+ ,inve/or  
,opportunities  #cdja4 ,%ort title ,?is 
title may be cit$ z ! ,increas+ ,inve/or
 ,opportunities ,act4  #cdjb4 ,clos$-end
 company au?ority to inve/ 9 private    
funds  7a7 ,9 g5]al ,section #e ( !     
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#e7 is am5d$ by add+ at 
! end ! foll[+3  7d7 ,clos$-,end company
 au?ority ,to inve/ 9 private funds     
7#a7 ,9 g5]al ,except z o!rwise         
prohibit$ or re/rict$ by ?is ,act 7or   
any rule issu$ "u ?is ,act71 !          
,commission may n limit a clos$-end     
company f inve/+ any or all ( !         
company's assets 9 private funds solely 

or prim>ily because ( ! private funds'  
/atus z private funds4  7#b7            
,application ,not)/&+ section #f7;f71   
?is subsection %all also apply to a     
clos$-end company t elects to be treat$ 
z a bus9ess developm5t company4  4  7b7 
,def9ition ( private fund  7#a7         
,inve/m5t ,company ,act ( #aidj ,section
 #b7;a7 ( ! ,inve/m5t ,company ,act (   
#aidj 7#ae ,u4,s4,c4 #hj;a-#b7;a77 is   
am5d$ by add+ at ! end ! foll[+3  7#ee7 
,! t]m private fund means an issu] t    
w\ld be an inve/m5t company b = p>agraph
 7#a7 or 7#g7 ( section #c7;c74  4  7#b7
 ,inve/m5t ,advis]s ,act ( #aidj ,! fir/
 p>agraph 7#bi7 7relat+ to private fund7
 ( section #bjb7;a7 ( ! ,inve/m5t       
,advis]s ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;b-#b7;a77 is am5d$ to read z foll[s3
  7#bi7 ,! t]m private fund has ! mean+ 
giv5 t t]m "u section #b7;a7 ( !        
,inve/m5t ,company ,act ( #aidj4  4  7c7
 ,treatm5t by national securities       
ex*anges ,section #f7;b7 ( ! ,securities
 ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4   

#gh;f7b77 is am5d$ by add+ at ! end !   
foll[+3  7#aa7 7,a7 ,! rules ( ! ex*ange
 d n prohibit ! li/+ or trad+ (         
securities ( a clos$-end company solely 
or prim>ily by reason ( ! am\nt ( !     
company's inve/m5t ( assets 9 private   
funds4  7,b7 ,9 ?is p>agraph-- 7i7 ! t]m
 clos$-end company has ! mean+ giv5 t   
t]m "u section #e7;a7 ( ! ,inve/m5t     
,company ,act ( #aidj1 & includes a     
clos$-end company t elects to be treat$ 
z a bus9ess developm5t company "u       
section #f7;f7 ( su* ,act2 &  7ii7 ! t]m
 private fund has ! mean+ giv5 t t]m "u 
section #b7;a7 ( ! ,inve/m5t ,company   
,act ( #aidj4  4  7d7 ,inve/m5t         
limitation ,section #c7;c7 ( ! ,inve/m5t
 ,company ,act ( #aidj 7#ae ,u4,s4,c4   
#hj;a-#c7;c77 is am5d$-- 7#a7 9 p>agraph
 7#a71 by /rik+ subp>agraphs 7,a77i7 &  
7,b77i7 & ins]t+ subp>agraphs 7,a77i71  
7,b77i71 & 7,c72 &  7#b7 9 p>agraph     
7#g77;,d71 by /rik+ subp>agraphs 7,a77i7
 & 7,b77i7 & ins]t+ subp>agraphs        
7,a77i71 7,b77i71 & 7,c74  ,v ,accr$it$ 

inve/ors include individuals receiv+    
advice f c]ta9 pr(essionals  #ceja4     
,accr$it$ inve/ors include individuals  
receiv+ advice f c]ta9 pr(essionals  7a7
 ,securities ,act ( #aicc ,section      
#b7;a77#ae7 ( ! ,securities ,act ( #aicc
 7#ae ,u4,s4,c4 #gg;b7a77#ae771 z am5d$ 
by sections #cbjb & #ccjb1 is fur!r     
am5d$ by add+ at ! end ! foll[+3  7v7   
any individual receiv+ individualiz$    
inve/m5t advice or individualiz$        
inve/m5t recomm5dations ) respect to !  
applicable transaction f an individual  
describ$ "u section #bjc4eja7;a77#aj7 ( 
title #ag1 ,code ( ,f$]al ,regulations4 
7,b7 ,def9itions ,9 subp>agraph 7,a77v73
 7i7 ,inve/m5t advice ,! t]m inve/m5t   
advice %all be int]pret$ consi/5tly ) ! 
int]pretation ( ! phrase engages 9 !    
bus9ess ( advis+ o!rs1 ei!r directly or 
?r\gh publications or writ+s1 z to !    
value ( securities or z to !            
advisability ( inve/+ 91 pur*as+1 or    
sell+ securities "u section             
#bjb7;a77#aa7 ( ! ,inve/m5t ,advis]s    

,act ( #aidj 7#ae ,u4,s4,c4             
#hj;b-#b7;a77#aa774  7ii7 ,inve/m5t     
recomm5dation ,! t]m inve/m5t           
recomm5dation %all be int]pret$         
consi/5tly ) ! int]pretation ( ! t]m    
recomm5dation "u section #bdj4ael-#a (  
title #ag1 ,code ( ,f$]al ,regulations4 
4  7b7 ,con=m+ *anges to regulations ,! 
,securities & ,ex*ange ,commission %all 
revise section #bjc4eja7;a7 ( title #ag1
 ,code ( ,f$]al ,regulations1 & any o!r 
def9ition ( accr$it$ inve/or 9 a rule ( 
! ,commission 9 ! same mann] z su*      
def9ition is revis$ "u subsection 7a74  
,,vi ,retirem5t ,fairness = ,*>ities &  
,educational ,in/itutions  #cfja4 ,%ort 
title ,?is title may be cit$ z !        
,retirem5t ,fairness = ,*>ities &       
,educational ,in/itutions ,act ( #bjbc4 
#cfjb4 ,enhancem5t ( #djc7;b7 plans  7a7
 ,am5dm5ts to ! ,inve/m5t ,company ,act 
( #aidj ,section #c7;c77#aa7 ( !        
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#c7;c77#aa77 is am5d$ to
 read z foll[s3  7#aa7 ,any-- 7,a7      

employee's /ock bonus1 p5sion1 or       
pr(it-%>+ tru/ :i* meets ! requirem5ts =
 qualification "u section #dja ( !      
,int]nal ,rev5ue ,code ( #aihf2  7,b7   
cu/odial acc\nt meet+ ! requirem5ts (   
section #djc7;b77#g7 ( su* ,code2  7,c7 
gov]nm5tal plan describ$ 9 section      
#c7;a77#b77;,c7 ( ! ,securities ,act (  
#aicc2  7,d7 collective tru/ fund       
ma9ta9$ by a bank consi/+ solely (      
assets ( "o or m-- 7i7 tru/s describ$ 9 
subp>agraph 7,a72  7ii7 gov]nm5t plans  
describ$ 9 subp>agraph 7,c72  7iii7 *ur*
 plans1 companies1 or acc\nts t are     
exclud$ f ! def9ition ( an inve/m5t     
company "u p>agraph 7#ad7 ( ?is         
subsection2 or  7iv7 plans :i* meet !   
requirem5ts ( section #djc7;b7 ( !      
,int]nal ,rev5ue ,code ( #aihf if-- 7,i7
 su* plan is subject to title ,i ( !    
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #ajja et    
seq472  7,,ii7 any employ] mak+ su* plan
 available agrees to s]ve z a fiduci>y =
 ! plan ) respect to ! selection ( !    

plan's inve/m5ts among :i* p>ticipants c
 *oose2 or  7,,iii7 su* plan is a       
gov]nm5tal plan 7z def9$ 9 section      
#dad7;d7 ( su* ,code72 or  7,e7 sep>ate 
acc\nt ! assets ( :i* are d]iv$ solely  
f-- 7i7 contributions "u p5sion or      
pr(it-%>+ plans :i* meet ! requirem5ts (
 section #dja ( ! ,int]nal ,rev5ue ,code
 ( #aihf or ! requirem5ts = d$uction ( !
 employ]'s contribution "u section      
#djd7;a77#b7 ( su* ,code2  7ii7         
contributions "u gov]nm5tal plans 9     
connection ) :i* int]e/s1 p>ticipations1
 or securities are exempt$ f !          
regi/ration provisions ( section #e ( ! 
,securities ,act ( #aicc by section     
#c7;a77#b77;,c7 ( su* ,act2  7iii7      
advances made by an insurance company 9 
connection ) ! op]ation ( su* sep>ate   
acc\nt2 &  7iv7 contributions to a plan 
describ$ 9 subp>agraph 7,d77iv74  4  7b7
 ,am5dm5ts to ! ,securities ,act ( #aicc
 ,section #c7;a77#b7 ( ! ,securities    
,act ( #aicc 7#ae ,u4,s4,c4             
#gg;c7a77#b77 is am5d$-- 7#a7 by /rik+  

or 7,d7 & ins]t+ 7,d7 a plan :i* meets !
 requirem5ts ( section #djc7;b7 ( su*   
,code if 7i7 su* plan is subject to     
title ,i ( ! ,employee ,retirem5t       
,income ,security ,act ( #aigd 7#bi     
,u4,s4,c4 #ajja et seq471 7ii7 any      
employ] mak+ su* plan available agrees  
to s]ve z a fiduci>y = ! plan ) respect 
to ! selection ( ! plan's inve/m5ts     
among :i* p>ticipants c *oose1 or 7iii7 
su* plan is a gov]nm5tal plan 7z def9$ 9
 section #dad7;d7 ( su* ,code72 or 7,e72
  7#b7 by /rik+ 7,c71 or 7,d7 & ins]t+  
7,c71 7,d71 or 7,e72 &  7#c7 by /rik+   
7iii7 :i* is a plan fund$ & ins]t+ 7iii7
 9 ! case ( a plan n describ$ 9         
subp>agraph 7,d71 :i* is a plan fund$4  
7c7 ,am5dm5ts to ! ,securities ,ex*ange 
,act ( #aicd ,section #c7;a77#ab77;,c7 (
 ! ,securities ,ex*ange ,act ( #aicd    
7#ae ,u4,s4,c4 #gh;c7a77#ab77;,c77 is   
am5d$-- 7#a7 by /rik+ or 7iv7 & ins]t+  
7iv7 a plan :i* meets ! requirem5ts (   
section #djc7;b7 ( su* ,code if 7,i7 su*
 plan is subject to title ,i ( !        

,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #ajja et    
seq471 7,,ii7 any employ] mak+ su* plan 
available agrees to s]ve z a fiduci>y = 
! plan ) respect to ! selection ( !     
plan's inve/m5ts among :i* p>ticipants c
 *oose1 or 7,,iii7 su* plan is a        
gov]nm5tal plan 7z def9$ 9 section      
#dad7;d7 ( su* ,code71 or 7v72  7#b7 by 
/rik+ 7ii71 or 7iii7 & ins]t+ 7ii71     
7iii71 or 7iv72 &  7#c7 by /rik+ 7,,ii7 
is a plan fund$ & ins]t+ 7,,ii7 9 ! case
 ( a plan n describ$ 9 clause 7iv71 is a
 plan fund$4