,,ii  #aahth ,,congress  #ast ,session  
,s4 #cbhf  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,november #i1  
#bjbc,mr4 ,casey 7for himself and ,mr4  
,scott of ,florida7 introduced the      
following bill2 which was read twice and
 referred to the ,committee on ,banking1
 ,housing1 and ,urban ,affairs  ,a      
,,bill  ,to require the ,securities and 
,exchange ,commission to amend the rules
 of the ,commission relating to         
disclosures by advisers of private      
funds1 and for other purposes4  #a4     
,short title ,this ,act may be cited as 
the ,disclosing ,investments in ,foreign
 ,adversaries ,act of #bjbc4  #b4       
,definitions ,in this ,act3 7#a7        
,commission ,the term ,commission means 
the ,securities and ,exchange           
,commission4  7#b7 ,country of concern  
,the term country of concern-- 7,a7 has 
the meaning given the term covered      
nation in section #dhgb7;d7 of title    
#aj1 ,united ,states ,code2 and  7,b7   
includes a jurisdiction that the        

,commission1 in consultation with the   
,secretary of ,state and the ,secretary 
of the ,treasury1 determines to be      
subject to the political and legal      
control of a covered nation1 as defined 
in section #dhgb7;d7 of title #aj1      
,united ,states ,code4  7#c7 ,covered   
entity ,the term covered entity means an
 entity or person that is required to   
file ,form ,,pf4  7#d7 ,exempt reporting
 adviser ,the term exempt reporting     
adviser means an investment adviser     
described in section #bge4bjd-d7;a7 of  
title #ag1 ,code of ,federal            
,regulations1 or any successor          
regulation4  7#e7 ,form ,,adv ,the term 
,form ,,adv means the form described in 
section #bgi4a of title #ag1 ,code of   
,federal ,regulations1 or any successor 
regulation4  7#f7 ,form ,,pf ,the term  
,form ,,pf means the form described in  
section #bgi4i of title #ag1 ,code of   
,federal ,regulations1 or any successor 
regulation4  7#g7 ,private fund ,the    
term private fund has the meaning given 

the term in section #bjb7;a7 of the     
,investment ,advisers ,act of #aidj 7#ae
 ,u4,s4,c4 #hj;b-#b7;a774  7#h7 ,private
 fund assets ,the term private fund     
assets has the meaning given the term in
 section #bge4bjd7;b7-#a of title #ag1  
,code of ,federal ,regulations1 or any  
successor regulation4  #c4 ,enhanced    
disclosure requirements for advisers of 
private funds  7a7 ,requirements  7#a7  
,in general ,not later than #a year     
after the date of enactment of this     
,act1 the ,commission shall amend ,form 
,,pf and ,form ,,adv1 and the rules of  
the ,commission governing the submission
 of ,form ,,pf and ,form ,,adv1 to1     
subject to paragraph 7#b71 require each 
covered entity and each exempt reporting
 adviser to annually disclose when      
submitting ,form ,,pf or ,form ,,adv1   
respectively1 the total private fund    
assets in countries of concern          
attributable to the private funds       
advised by the covered entity or exempt 
reporting adviser1 as applicable1 which 

shall be broken down by the percentage  
of those assets in each country of      
concern4  7#b7 ,application ,for the    
purposes of paragraph 7#a71 the         
,commission shall determine whether a   
private fund asset is in a country of   
concern based on-- 7,a7 the amount of   
capital that is invested in an entity   
7including a subsidiary of an entity7-- 
7i7 that has a physical presence or     
employees in that country of concern2 or
  7ii7 the plurality of the sales of    
which are from that country of concern2 
and  7,b7 the proportion of the total   
assets and liabilities of an entity     
described in subparagraph 7,a7 that are 
located in that country of concern4  7b7
 ,reporting by ,commission  7#a7        
,publicly available reports  7,a7 ,in   
general ,not later than #a year after   
the date on which the ,commission makes 
the amendments required under subsection
 7a71 and not less frequently than      
annually thereafter1 the ,commission    
shall prepare and make publicly         

available a report containing a list of 
covered entities and exempt reporting   
advisers that1 for the period covered by
 the report1 have disclosed more than #j
 private fund assets under ,form ,,pf or
 ,form ,,adv 7as amended pursuant to    
that subsection7 in at least #a country 
of concern1 which shall be aggregated by
 the covered entity or exempt reporting 
adviser making that disclosure4  7,b7   
,additional requirements ,each report   
prepared and made available by the      
,commission under subparagraph 7,a7     
shall-- 7i7 be aggregated by covered    
entity or exempt reporting adviser2 and 
7ii7 include the percentage of private  
fund assets disclosed by a covered      
entity or exempt reporting adviser1 as  
applicable4  7#b7 ,rule of construction 
,nothing in this subsection may be      
construed to permit the ,commission to  
make available any information that     
appears on ,form ,,pf or ,form ,,adv    
other than the information that is      
included on ,form ,,pf or ,form ,,adv as

 a result of the requirements under     
subsection 7a74  #d4 ,exempted          
transactions  7a7 ,in general ,the      
,securities ,exchange ,act of #aicd 7#ae
 ,u4,s4,c4 #gh;a et seq47 is amended by 
inserting after section #ac;,a 7#ae     
,u4,s4,c4 #ghm-#a7 the following3       
#ac;,b4 ,disclosure requirements        
relating to certain exempted            
transactions  7a7 ,definitions ,in this 
section3 7#a7 ,beneficial owner ,the    
term beneficial owner means a person    
that is determined to be a beneficial   
owner under section #bdj4ac;d-#c of     
title #ag1 ,code of ,federal            
,regulations1 or any successor          
regulation4  7#b7 ,country of concern   
,the term country of concern-- 7,a7 has 
the meaning given the term covered      
nation in section #dhgb7;d7 of title    
#aj1 ,united ,states ,code2 and  7,b7   
includes a jurisdiction that the        
,commission1 in consultation with the   
,secretary of ,state and the ,secretary 
of the ,treasury1 determines to be      

subject to the political and legal      
control of a covered nation1 as defined 
in section #dhgb7;d7 of title #aj1      
,united ,states ,code4  7#c7 ,covered   
exempted transaction ,the term covered  
exempted transaction means an offer or  
sale of a security that is-- 7,a7 exempt
 from registration under section #e of  
the ,securities ,act of #aicc 7#ae      
,u4,s4,c4 #gg;e72 and  7,b7 structured  
or intended to comply with-- 7i7 section
 #bcj4ejf7;b7 of title #ag1 ,code of    
,federal regulations1 or any successor  
regulation2  7ii7 sections #bcj4ija1    
#bcj4ijb1 and #bcj4ijc of title #ag1    
,code of ,federal ,regulations1 or any  
successor regulations2 or  7iii7 section
 #bcj4add;,a of title #ag1 ,code of     
,federal ,regulations1 or any successor 
regulation4  7b7 ,requirement  7#a7 ,in 
general ,notwithstanding any other      
provision of law1 in the case of an     
issuer that conducts a covered exempted 
transaction described in paragraph 7#b71
 that issuer shall provide to the       

,commission1 at such time and in such   
manner as the ,commission may prescribe1
 the following information3 7,a7 ,the   
identity of the issuer4  7,b7 ,the place
 of incorporation of the issuer4  7,c7  
,whether the issuer is associated with  
at least #a consolidated entity1 the    
plurality of the assets of which are in 
a country of concern4  7,d7 ,whether the
 issuer is associated with at least #a  
consolidated entity that is incorporated
 in a country of concern4  7,e7 ,the    
amount of securities sold pursuant to   
the covered exempted transaction and the
 net proceeds to the issuer4  7,f7 ,the 
beneficial owners of the issuer4  7,g7  
,the intended use of the proceeds from  
the covered exempted transaction1       
including each country in which the     
issuer intends to invest those proceeds1
 which shall be broken down by the      
percentage of net proceeds by industry  
within each such country4  7,h7 ,the    
exemption the issuer relies on with     
respect to the covered exempted         

transaction4  7#b7 ,particular covered  
exempted transaction described ,a       
covered exempted transaction described  
in this paragraph is1 with respect to   
the issuer offering or selling the      
security that is the subject of the     
covered exempted transaction1 either of 
the following instances3 7,a7 ,an offer 
or sale of securities in an amount that 
is not less than #be1jjj1jjj4  7,b7 ,an 
offer or sale of a security such that   
the offer or sale1 together with all    
covered exempted transactions by that   
issuer during the #a-year period        
preceding the date on which the issuer  
offers or sells the security1           
constitutes offers or sales in the      
aggregate of an amount that is not less 
than #ej1jjj1jjj4  7c7 ,authority ,to   
revise and promulgate rules1            
regulations1 and forms ,the ,commission 
shall1 for the protection of investors  
and fair and orderly markets-- 7#a7     
revise and issue such rules1            
regulations1 and forms as may be        

necessary to carry out this section2 and
  7#b7 issue rules to set conditions    
that limit the future use of covered    
exempted transactions for issuers that  
do not comply with the disclosure       
requirements of this section4  7d7      
,applicability ,this section shall apply
 with respect to any covered exempted   
transaction that occurs on or after the 
date that is #a year after the date of  
enactment of this section4  7e7 ,reports
 ,the ,commission shall1 on a quarterly 
basis1 prepare and make publicly        
available a report that includes all    
information submitted by an issuer under
 this section during the quarter covered
 by the report1 if that issuer-- 7#a7   
is-- 7,a7 incorporated in a country of  
concern2 or  7,b7 incorporated outside  
of a country of concern and is          
associated with at least #a consolidated
 entity-- 7i7 the plurality of the      
assets of which are in a country of     
concern2 or  7ii7 that is incorporated  
in a country of concern2 or  7#b7       

discloses in a filing made pursuant to  
this section that the issuer intends to 
invest the proceeds from a covered      
exempted transaction in a country of    
concern4  4