,,ii  #aah? ,,congress  #b;d ,session   
,s4 #eaci  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,septemb] #bc1         
#bjbd,mr4 ,scott ( ,s\? ,c>ol9a 7=      
himself1 ,mr4 ,crapo1 ,mr4 ,r\nds1 ,mr4 
,tillis1 ,mr4 ,k5n$y1 ,mr4 ,hag]ty1 ,ms4
 ,lummis1 ,mrs4 ,britt1 ,mr4 ,cram]1    
,mr4 ,da9es1 & ,mr4 ,moran7 introduc$ ! 
foll[+ bill2 :i* 0 read twice & ref]r$  
to ! ,committee on ,bank+1 ,h\s+1 &     
,urban ,affairs  ,a ,,bill  ,to am5d !  
,securities ,act ( #aicc to address     
em]g+ gr[? companies1 & = o!r purposes4 
#a4 ,%ort title2 table ( cont5ts  7a7   
,%ort title ,?is ,act may be cit$ z !   
,emp[]+ ,ma9 ,/reet 9 ,am]ica ,act (    
#bjbd4  7b7 ,table ( cont5ts ,! table ( 
cont5ts = ?is ,act is z foll[s3 ,sec4   
#a4 ,%ort title2 table ( cont5ts4,sec4  
#b4 ,def9ition4,,title ,i--,promot+     
great] capital =mation 9 ,u4,s4 public &
 private markets,sec4 #aja4 ,help+      
/>tups cont9ue to gr[4,sec4 #ajb4       
,micro-(f]+ exemption4,sec4 #ajc4       
,inve/m5t companies4,sec4 #ajd4 ,public 

float4,sec4 #aje4 ,cr[dfund+4,sec4 #ajf4
 ,regulatory def9ition ( v5ture capital 
fund4,sec4 #ajg4 ,unlock+ capital =     
small bus9esses4,sec4 #ajh4 ,rural job  
creators4,sec4 #aji4 ,/udies1 reports1 &
 rules reg>d+ small entities4,,title    
,,ii--,responsibly exp&+ inve/m5t       
opportunities = retail investors,sec4   
#bja4 ,equal opportunity = all          
inve/ors4,sec4 #bjb4 ,enc\rag+ inve/m5ts
 9 ,ma9 ,/reet4,sec4 #bjc4 ,ma9 ,/reet  
inve/or confid5ce4,sec4 #bjd4 ,increas+ 
inve/or opportunities4,sec4 #bje4       
,enhancem5t ( #djc7;b7 plans4,,title    
,,iii--,fo/]+ inve/or confid5ce 9 m>ket 
integrity1 fairness1 & transparency,sec4
 #cja4 ,/udy reg>d+ retail inve/or      
readability ( f9ancial /atem5ts4,sec4   
#cjb4 ,duties ( ,ombudsman relat+ to    
,regulation ,cr[dfund+4,sec4 #cjc4      
,publication on economic data on        
securities m>kets4,sec4 #cjd4 ,/udy on  
,,ipo fees4,sec4 #cje4 ,exclusions      
available reg>dless ( significant social
 policy issue4,,title ,,iv--,hold+      

regulators acc\ntable ?r\gh increas$    
oversight,sec4 #dja4 ,requir$           
te/imony4,sec4 #djb4 ,semiannual        
report4,sec4 #djc4 ,rulemak+            
requirem5ts4,sec4 #djd4 ,s5ate          
confirmation ( ,inspector ,g5]al ( !    
,securities & ,ex*ange ,commission4  #b4
 ,def9ition ,9 ?is ,act1 ! t]m          
,commission means ! ,securities &       
,ex*ange ,commission4  ,i ,promot+      
great] capital =mation 9 ,u4,s4 public &
 private m>kets  #aja4 ,help+ />tups    
cont9ue to gr[  7a7 ,def9ition ( t]m    
7#a7 ,securities ,act ( #aicc ,section  
#b7;a7 ( ! ,securities ,act ( #aicc 7#ae
 ,u4,s4,c4 #gg;b7a77 is am5d$ by /rik+  
p>agraph 7#ai7 & ins]t+ ! foll[+3  7#ai7
 7,a7 ,! t]m em]g+ gr[? company means an
 issu] t _h total annual gross rev5ues (
 less ?an #b1jjj1jjj1jjj 7z su* am\nt is
 index$ = inflation e #e ye>s by !      
,commission to reflect ! *ange 9 !      
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   

#a1jjj1jjj7 dur+ its mo/ rec5tly        
complet$ fiscal ye>4  7,b7 ,an issu] t  
is an em]g+ gr[? company z ( ! fir/ day 
( its mo/ rec5tly complet$ fiscal ye>   
%all1 aft] submitt+ a draft regi/ration 
/atem5t or publicly fil+ an initial     
regi/ration /atem5t "u ?is title1       
cont9ue to be deem$ an em]g+ gr[?       
company until ! e>lie/ (-- 7i7 ! date t 
is #a fiscal ye> aft] ! la/ day ( !     
fiscal ye> ( ! issu] dur+ :i* x _h total
 annual gross rev5ues ( #b1jjj1jjj1jjj  
7z su* am\nt is index$ = inflation e #e 
ye>s by ! ,commission to reflect ! *ange
 9 ! ,consum] ,price ,index = ,all      
,urban ,consum]s publi%$ by ! ,bureau ( 
,labor ,/ati/ics1 sett+ ! ?re%old to !  
ne>e/ #a1jjj1jjj7 or m2  7ii7 ! la/ day 
( ! fiscal ye> ( ! issu] foll[+ ! t5?   
anniv]s>y ( ! date ( ! fir/ prim>y sale 
( common equity securities ( ! issu] =  
ca% pursuant to an effective regi/ration
 /atem5t "u ?is title2 or  7iii7 ! date 
t is #a fiscal ye> aft] ! la/ day ( !   
fiscal ye> ( ! issu] 9 :i* su* issu] has

 m ?an #b1jjj1jjj1jjj 7z su* am\nt is   
index$ = inflation e #e ye>s by !       
,commission to reflect ! *ange 9 !      
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   
#a1jjj1jjj7 9 non-conv]tible debt       
securities out/&+4  4  7#b7 ,securities 
,ex*ange ,act ( #aicd ,section #c7;a7 ( 
! ,securities ,ex*ange ,act ( #aicd 7#ae
 ,u4,s4,c4 #gh;c7a77 is am5d$-- 7,a7 by 
/rik+ ! fir/ p>agraph 7#hj7 7relat+ to  
em]g+ gr[? companies72  7,b7 by         
transf]r+ p>agraph 7#gi7 7relat+ to     
asset-back$ securities7 to appe> aft]   
p>agraph 7#gh72 &  7,c7 by add+ at ! end
 ! foll[+3  7#ha7 ,em]g+ gr[? company ,!
 t]m em]g+ gr[? company has ! mean+ giv5
 ! t]m 9 section #b7;a7 ( ! ,securities 
,act ( #aicc 7#ae ,u4,s4,c4 #gg;b7a774  
4  7#c7 ,rule ( application ,! am5dm5ts 
made by ?is subsection %all apply )     
respect to an issu] t-- 7,a7 qualifies z
 an em]g+ gr[? company1 z def9$ 9       
section #b7;a7 ( ! ,securities ,act (   

#aicc 7#ae ,u4,s4,c4 #gg;b7a77 or ! fir/
 p>agraph 7#hj7 ( section #c7;a7 ( !    
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gh;c7a771 z applicable1 on ! 
day be=e ! date ( enactm5t ( ?is ,act2  
or  7,b7 fir/ qualifies z an em]g+ gr[? 
company1 z def9$ 9 su* section #b7;a7 or
 p>agraph 7#ha7 ( su* section #c7;a7 7z 
add$ by p>agraph 7#b7 ( ?is subsection71
 z applicable1 on or aft] ! date (      
enactm5t ( ?is ,act4  7b7 ,regi/ration  
,section #f7;e77#a7 ( ! ,securities ,act
 ( #aicc 7#ae ,u4,s4,c4 #gg;f7e77#a77 is
 am5d$ by /rik+ ! second s5t5ce4  #ajb4 
,micro-(f]+ exemption  7a7 ,9 g5]al     
,section #d ( ! ,securities ,act ( #aicc
 7#ae ,u4,s4,c4 #gg;d7 is am5d$-- 7#a7 9
 subsection 7a71 by add+ at ! end !     
foll[+3  7#h7 transactions meet+ !      
requirem5ts ( subsection 7f74  2 &  7#b7
 by add+ at ! end ! foll[+3  7f7        
,micro-,(f]+s  7#a7 ,9 g5]al ,!         
transactions ref]r$ 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$+ su*       
transaction1 does n exce$ #ejj1jjj4     
7#b7 ,adju/m5t ,! doll> am\nt 9 p>agraph
 7#a7 %all be adju/$ by ! ,commission n 
less frequ5tly ?an once e #e ye>s & at !
 same "t z ! adju/m5ts made "u section  
#d;,a7h71 by notice publi%$ 9 ! ,f$]al  
,regi/] to reflect any *ange 9 !        
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   
#aj1jjj4  7#c7 ,bad actor prohibition ,!
 exemption "u ?is subsection %all n     
apply to any p]son subject to-- 7,a7 an 
ev5t t w\ld disqualify an issu] or o!r  
cov]$ p]son "u section #bcj4ejf7;d77#a7 
( title #ag1 ,code ( ,f$]al             
,regulations1 or any successor          
regulation2 or  7,b7 a /atutory         
disqualification1 z def9$ 9 section     

#c7;a7 ( ! ,securities ,ex*ange ,act (  
#aicd 7#ae ,u4,s4,c4 #gh;c7a774  4  7b7 
,exemption "u ,/ate regulations ,section
 #ah7;b77#d7 ( ! ,securities ,act (     
#aicc 7#ae ,u4,s4,c4 #ggr7b77#d77 is    
am5d$-- 7#a7 9 subp>agraph 7,f71 by     
/rik+ or at ! end2  7#b7 9 subp>agraph  
7,g71 by /rik+ ! p]iod & ins]t+ 2 or2 & 
7#c7 by add+ at ! end ! foll[+3  7,h7   
section #d7;a77#h74  4  #ajc4 ,inve/m5t 
companies ,section #c7;c77#a7 ( !       
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#c7;c77#a77 is am5d$--  
7#a7 9 ! matt] prec$+ subp>agraph 7,a71 
9 ! fir/ s5t5ce1 by /rik+ #bej p]sons & 
ins]t+ #ejj p]sons2 &  7#b7 9           
subp>agraph 7,c77i7-- 7,a7 by /rik+     
#aj1jjj1jjj & ins]t+ #ej1jjj1jjj2 &     
7,b7 by /rik+ ) su* doll> am\nt to be   
index$ = inflation once e #e ye>s by !  
,commission1 beg9n+ f a measurem5t made 
by ! ,commission on a date select$ by ! 
,commission1 r\nd$ to ! ne>e/ #a1jjj1jjj
 & ins]t+ ! foll[+3 :i* ! ,commission   
%all adju/ n less frequ5tly ?an once e  

#e ye>s by notice publi%$ 9 ! ,f$]al    
,regi/] to reflect any *ange 9 !        
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   
#aj1jjj4  #ajd4 ,public float ,n lat]   
?an #ahj days aft] ! date ( enactm5t (  
?is ,act1 ! ,commission %all am5d       
section #bbi4aj7;f77#a77;i7 ( title #ag1
 ,code ( ,f$]al ,regulations1 or any    
successor regulation1 to provide t !    
?re%old 9 t provision %all be a #ab-mon?
 roll+ av]age ( #gjj1jjj1jjj 7:i* !     
,commission %all index = inflation once 
e #e ye>s to reflect ! *ange 9 !        
,consum] ,price ,index = ,all ,urban    
,consum]s publi%$ by ! ,bureau ( ,labor 
,/ati/ics1 sett+ ! ?re%old to ! ne>e/   
#ajj1jjj74  #aje4 ,cr[dfund+ ,not)/&+   
any o!r provision ( law or regulation1 )
 respect to a transaction describ$ 9    
section #d7;a77#f7 ( ! ,securities ,act 
( #aicc 7#ae ,u4,s4,c4 #gg;d7a77#f771 ! 
foll[+ %all apply3 7#a7 ,if !           
transaction involves an (f] or sale (   

securities by an issu] t is n m ?an     
#ejj1jjj1 ! issu]-- 7,a7 %all n be      
requir$ to submit a review report ( a   
public acc\ntant t is indep5d5t ( !     
issu]2 &  7,b7 may provide f9ancial     
/atem5ts & c]ta9 o!r in=mation t is bas$
 on in=mation report$ on ! ,f$]al income
 tax return ( ! issu] = ! mo/ rec5tly   
complet$ ye> 7if any71 if-- 7i7 review$ 
or audit$ f9ancial /atem5ts are n       
available2 &  7ii7 ^? f9ancial /atem5ts1
 & t o!r in=mation1 is c]tifi$ by !     
pr9cipal executive (fic] ( ! issu] to be
 true & complete 9 all mat]ial respects4
  7#b7 ,a p]son describ$ 9 subsection   
7b7 or 7c7 ( section #c ( ! ,inve/m5t   
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#c7 may pur*ase ! securities t are
 (f]$ or sold 9 t transaction4  #ajf4   
,regulatory def9ition ( v5ture capital  
fund ,n lat] ?an #ahj days aft] ! date (
 enactm5t ( ?is ,act1 ! ,commission     
%all-- 7#a7 am5d ! def9ition ( a        
qualify+ inve/m5t "u p>agraph 7c7 (     
section #bge4bjc7l7-#a ( title #ag1     

,code ( ,f$]al ,regulations1 or any     
successor regulation-- 7,a7 to include  
an equity security issu$ 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 t def9ition2 &   
7#b7 am5d p>agraph 7a7 ( section        
#bge4bjc7l7-#a ( title #ag1 ,code (     
,f$]al ,regulations1 or any successor   
regulation1 to require1 z a condition ( 
a private fund qualify+ z a v5ture      
capital fund "u t p>agraph1 t ! qualify+
 inve/m5ts ( ! private fund are-- 7,a7  
pr$om9antly qualify+ inve/m5ts t 7      
acquir$ directly f a qualify+ portfolio 
company2 or  7,b7 pr$om9antly qualify+  
inve/m5ts 9 ano!r v5ture capital fund or
 o!r v5ture capital funds4  #ajg4       
,unlock+ capital = small bus9esses  7a7 
,safe h>bors = f9d]s & private placem5t 
brok]s  7#a7 ,9 g5]al ,section #ae ( !  
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #gho7 is am5d$ by add+ at !   

end ! foll[+3  7p7 ,f9d] safe h>bor     
7#a7 ,disclosures requir$ ,be=e !       
consummation ( a transaction effect+ a  
private placem5t1 a f9d] %all disclose  
cle>ly & conspicu\sly1 9 writ+1 to all  
p>ties to ! transaction z a result ( !  
activities ( ! f9d]-- 7,a7 t ! f9d] is  
act+ z a f9d]2  7,b7 ! am\nt ( any      
comp5sation or anticipat$ comp5sation 9 
any =m = s]vices r5d]$ z a f9d] 9       
connection ) su* transaction2  7,c7 !   
p]son entitl$ to receive any comp5sation
 describ$ 9 subp>agraph 7,b72 &  7,d7   
any b5eficial int]e/ 9 ! issu]1 direct  
or indirect1 ( ! f9d]1 ( a memb] ( !    
imm$iate family ( ! f9d]1 ( an associat$
 p]son ( ! f9d]1 or ( a memb] ( !       
imm$iate family ( su* associat$ p]son   
be=e ! consummation ( ! transaction     
effect+ ! private placem5t or anticipat$
 to be held foll[+ ! consummation ( !   
transaction4  7#b7 ,def9itions ,9 ?is   
subsection3 7,a7 ,f9d] ,! t]m f9d] means
 a p]son t-- 7i7 receives               
transaction-bas$ comp5sation-- 7,i7 =   

effect+ a transaction by-- 7aa7         
introduc+ an issu] or own] ( securities 
& a buy] ( su* securities 9 connection )
 ! sale ( a bus9ess effect$ z ! sale (  
securities2 or  7bb7 introduc+ an issu] 
or own] ( securities & a buy] ( ^?      
securities 9 connection ) ! placem5t (  
securities 9 transactions t are exempt f
 ! regi/ration requirem5ts "u !         
,securities ,act ( #aicc 7#ae ,u4,s4,c4 
#gg;a et seq472 &  7,,ii7 t is n )      
respect to-- 7aa7 a class ( publicly    
trad$ securities2  7bb7 ! securities (  
an inve/m5t company1 z def9$ 9 section  
#c ( ! ,inve/m5t ,company ,act ( #aidj  
7#ae ,u4,s4,c4 #hj;a-#c72 or  7cc7 a    
v>iable or equity-index$ annuity or o!r 
v>iable or equity-index$ life insurance 
product2  7ii7 ) respect to a           
transaction = :i* su* transaction-bas$  
comp5sation is receiv$-- 7,i7 does n    
h&le or take possession ( ! funds or    
securities2  7,,ii7 does n engage 9 an  
activity t requires regi/ration z an    
inve/m5t advis] "u ,/ate or ,f$]al law2 

&  7,,iii7 is n subject to a /atutory   
disqualification2 &  7iii7 is n a       
private placem5t brok]1 z def9$ 9       
subsection 7q77#c74  7,b7 ,private      
placem5t ,! t]m private placem5t means a
 transaction describ$ 9 section         
#d7;a77#b7 ( ! ,securities ,act ( #aicc 
7#ae ,u4,s4,c4 #gg;d7a77#b774  7q7      
,private placem5t brok] safe h>bor  7#a7
 ,regi/ration requirem5ts  7,a7 ,9 g5]al
 ,n lat] ?an #bgj days aft] ! date (    
enactm5t ( ?is subsection1 ! ,commission
 %all propose regulations ) respect to  
private placem5t brok]s4  7,b7          
,re/riction ,! regulations propos$ "u   
subp>agraph 7,a7 may n require a private
 placem5t brok] to comply ) any net     
capital requirem5t1 h a f9ancial        
pr9cipal1 or h or produce = exam9ation  
by any regulatory au?ority audit$       
f9ancial /atem5ts ( ! private placem5t  
brok]4  7,c7 ,f9al regulations ,n lat]  
?an #bgj days aft] ! date on :i* !      
,commission publi%es 9 ! ,f$]al ,regi/] 
! propos$ regulations "u subp>agraph    

7,a71 ! ,commission %all promulgate f9al
 v]sions ( ^? regulations4  7#b7        
,national securities associations  7,a7 
,9 g5]al ,n lat] ?an #bgj days aft] !   
date ( enactm5t ( ?is subsection1 !     
,commission %all promulgate regulations 
t require ! rules ( any national        
securities association to all[ a private
 placem5t brok] to become a memb] ( t   
national securities association1 subject
 to r$uc$ memb]%ip requirem5ts consi/5t 
) ?is subsection4  7,b7 ,f9al           
regulations ,n lat] ?an #bgj days aft] !
 publication ( ! propos$ regulations 9 !
 ,f$]al ,regi/]1 ! ,commission %all     
promulgate f9al v]sions ( ! regulations 
describ$ 9 subp>agraph 7,a74  7#c7      
,def9ition  7,a7 ,9 g5]al ,9 ?is        
subsection1 ! t]m private placem5t brok]
 means a p]son t-- 7i7 receives         
transaction-bas$ comp5sation 9          
connection ) ! sale ( a bus9ess effect$ 
z ! sale ( securities or 9 connection ) 
! placem5t ( securities 9 transactions t
 are exempt f ! regi/ration requirem5ts 

"u ! ,securities ,act ( #aicc 7#ae      
,u4,s4,c4 #gg;a et seq47 ) respect to a 
transaction = :i* transaction-bas$      
comp5sation is receiv$2 &  7ii7 )       
respect to ! transaction-bas$           
comp5sation describ$ 9 clause 7i71      
receives t comp5sation-- 7,i7 9 an am\nt
 t is n m ?an #ejj1jjj 9 any cal5d> ye>2
  7,,ii7 9 connection ) transactions t  
result 9 a s+le issu] sell+ securities  
valu$ at n m ?an #ae1jjj1jjj 9 any      
cal5d> ye>2  7,,iii7 9 connection )     
transactions t result 9 any comb9ation (
 issu]s sell+ securities valu$ at n m   
?an #cj1jjj1jjj 9 any cal5d> ye>2 or    
7,,iv7 9 connection ) few] ?an #af      
transactions t are n "p ( ! same (f]+ or
 are o!rwise unrelat$ 9 any cal5d> ye>4 
7,b7 ,adju/m5t = inflation ,! am\nts    
describ$ 9 subp>agraph 7,a77ii7 %all be 
increas$ ea* ye> by an am\nt equal to ! 
p]c5tage increase1 if any1 9 ! ,consum] 
,price ,index1 z det]m9$ by ! ,dep>tm5t 
( ,labor or its successor4  4  7#b7     
,validity ( contracts ) regi/]$ f9d]s & 

private placem5t brok]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   
f9d] 7z def9$ 9 section #ae7p77#b77 t is
 n regi/]$ "u ?is title or a private    
placem5t brok] 7z def9$ 9 section       
#ae7q77#c77 ) respect to t transaction2 
7#b7 ! issu] receiv$ a self-c]tification
 f a f9d] or private placem5t brok]     
describ$ 9 p>agraph 7#a7 c]tify+ t su*  
f9d] or private placem5t brok] is a f9d]
 "u section #ae7p7 or a regi/]$ private 
placem5t brok] "u section #ae7q72 &     
7#c7 ! issu]-- 7,a7 did n "k t !        
self-c]tification describ$ 9 p>agraph   
7#b7 0 false2 or  7,b7 did n h a        
reasonable basis to believe t !         
self-c]tification describ$ 9 p>agraph   
7#b7 0 false4  4  7#c7 ,removal ( f9d]s 
f def9itions ( brok]  7,a7 ,records &   
reports on monet>y in/rum5ts            

transactions ,section #ecab7;a77#b77;,g7
 ( title #ca1 ,unit$ ,/ates ,code1 is   
am5d$ by ins]t+ ) ! exception ( a f9d]1 
z def9$ 9 subsection 7p77#b7 ( section  
#ae ( t ,act 7#ae ,u4,s4,c4 #gho7 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 
,f9d]s ,a f9d]1 z def9$ 9 section       
#ae7p77#b71 is n a brok] = ! purposes ( 
?is ,act4  4  7b7 ,limitations on ,/ate 
law ,section #ae7;i7 ( ! ,securities    
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gho7i77 is am5d$-- 7#a7 9 p>agraph     
7#c71 9 ! matt] prec$+ subp>agraph 7,a71
 by /rik+ p>agraph 7#c7 & ins]t+        
p>agraph 7#e72  7#b7 by r$esignat+      
p>agraph 7#d7 z p>agraph 7#e72 &  7#c7  
by ins]t+ aft] p>agraph 7#c7 ! foll[+3  
7#d7 ,f9d]s & private placem5t brok]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 f9d] or private        
placem5t brok] ?an ^? t are requir$ "u  
subsections 7p7 & 7q71 respectively4    
7,b7 ,electronic access ,ea* ,/ate-- 7i7
 %all h electronic access to any        
regi/ration fil$ ) ! ,commission by a   
private placem5t brok]2 &  7ii7 may     
require a writt5 notice f a f9d] op]at+ 
f )9 t ,/ate1 or communicat+ ) pot5tial 
inve/ors t are citiz5s or resid5ts ( t  
,/ate1 t provides ! "n1 pr9cipal place (
 bus9ess1 telephone numb]1 & email      
address ( ! f9d]1 :i* %all be transmitt$
 to ! ,/ate be=e ! consummation ( a     
transaction-- 7,i7 9 ! f9d]'s ,/ate (   
resid5ce2 or  7,,ii7 involv+ a p>ty to !
 transaction t is a citiz5 or resid5t ( 
! ,/ate describ$ 9 subclause 7,i74  7,c7
 ,def9itions ,9 ?is p>agraph1 ! t]ms    
f9d] & private placem5t brok] h ! mean+s
 giv5 ^? t]ms 9 subsections 7p77#b7 &   
7q77#c7 ( section #ae1 respectively4  4 
#ajh4 ,rural job creators ,section      

#d7;j7 ( ! ,securities ,ex*ange ,act (  
#aicd 7#ae ,u4,s4,c4 #gh;d7j77 is       
am5d$-- 7#a7 9 p>agraph 7#d77;,c71 by   
ins]t+ rural-area small bus9esses1 aft] 
wom5-own$ small bus9esses12 &  7#b7 9   
p>agraph 7#f77;,b77iii71 by ins]t+      
rural-area small bus9esses1 aft]        
wom5-own$ small bus9esses14  #aji4      
,/udies1 reports1 & rules reg>d+ small  
entities  7a7 ,def9ition ,9 ?is section1
 ! t]m small entity-- 7#a7 has ! mean+  
giv5 ! t]m 9 section #fja ( title #e1   
,unit$ ,/ates ,code1 ) respect to !     
activities ( ! ,commission2 &  7#b7     
includes any def9ition e/abli%$ by !    
,commission ( ! t]m small bus9ess1 small
 organization1 or small gov]nm5tal      
jurisdiction "u p>agraph 7#c71 7#d71 or 
7#e71 respectively1 ( section #fja (    
title #e1 ,unit$ ,/ates ,code1 ) respect
 to ! activities ( ! ,commission4  7b7  
,/udies & reports ,n lat] ?an #a ye>    
aft] ! date ( enactm5t ( ?is ,act1 & e  
#e ye>s !reaft]1 ! ,commission %all--   
7#a7 conduct a /udy ( ! def9ition ( !   

t]m small entity ) respect to !         
activities ( ! ,commission = ! purposes 
( *apt] #f ( title #e1 ,unit$ ,/ates    
,code1 :i* %all consid]-- 7,a7 ! ext5t  
to :i* ! def9ition ( ! t]m small entity1
 z 9 effect dur+ ! p]iod 9 :i* ! /udy is
 conduct$1 aligns ) ! f9d+s &           
decl>ations made "u section #b7;a7 ( !  
,regulatory ,flexibility ,act 7#e       
,u4,s4,c4 #fja note72  7,b7 ! am\nt by  
:i* f9ancial m>kets 9 ! ,unit$ ,/ates h 
gr[n s9ce ! la/ "t ! ,commission am5d$ !
 def9ition ( ! t]m small entity1 if     
applicable2 &  7,c7 h[ ! ,commission    
%\ld def9e ! t]m small entity to ensure 
t a mean+ful numb] ( entities w\ld fall 
"u t def9ition2 &  7#b7 submit to       
,congress a report t includes-- 7,a7 !  
results ( ! applicable /udy conduct$ "u 
p>agraph 7#a72 &  7,b7 specific &       
detail$ recomm5dations on ! ways 9 :i* !
 ,commission c\ld am5d ! def9ition ( !  
t]m small entity to-- 7i7 be consi/5t ) 
! results describ$ 9 subp>agraph 7,a72 &
  7ii7 exp& ! numb] ( entities cov]$ by 

t def9ition4  7c7 ,rulemak+ ,aft] !     
completion ( ea* /udy requir$ "u        
subsection 7b71 ! ,commission %all1     
subject to public notice & comm5t1      
revise ! rules ( ! ,commission consi/5t 
) ! results ( ! /udy4  7d7 ,inflation   
adju/m5ts ,z soon z practicable foll[+ !
 date ( enactm5t ( ?is ,act1 & e #e ye>s
 !reaft]1 ! ,commission %all adju/ all  
doll> figures "u ! def9ition ( small    
entity e/abli%$ by ! ,commission to     
reflect ! *ange 9 ! ,consum] ,price     
,index = ,all ,urban ,consum]s publi%$  
by ! ,bureau ( ,labor ,/ati/ics ( !     
,dep>tm5t ( ,labor4  ,,ii ,responsibly  
exp&+ inve/m5t opportunities = retail   
inve/ors  #bja4 ,equal opportunity = all
 inve/ors  7a7 ,c]tification exam9ations
 = accr$it$ inve/ors  7#a7 ,exam9ation  
alt]native ,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,b71 respectively2 
7,b7 9 subp>agraph 7,a71 z s r$esignat$1

 by /rik+ advis]2 or & ins]t+ advis]22  
7,c7 9 subp>agraph 7,b71 z s r$esignat$1
 by /rik+ ! p]iod at ! end & ins]t+ 2   
or2 &  7,d7 by add+ at ! end ! foll[+3  
7,c7 any individual :o is c]tifi$ z an  
accr$it$ inve/or ?r\gh an exam9ation    
e/abli%$ or approv$ by ! ,commission1 ! 
securities commission 7or any ag5cy or  
(fice p]=m+ l functions7 ( any ,/ate1 or
 any self-regulatory organization z     
def9$ 9 ! ,securities ,ex*ange ,act (   
#aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf77 t-- 
7i7 measures :e!r an individual c]tifi$ 
z an accr$it$ inve/or pursuant to su*   
exam9ation und]/&s & appreciates ! risks
 & opportunities ( inve/+ 9 securities2 
7ii7 is design$ to ensure t an          
individual ) f9ancial sophi/ication or  
tra9+ w\ld be unlikely to fail2 &  7iii7
 may be design$ or adm9i/]$ by any o!r  
p]son approv$ by ! ,commission1 su*     
securities commission1 or su*           
self-regulatory organization4  4  7#b7  
,effective date ,! am5dm5ts made by     
p>agraph 7#a7 %all take effect on ! date

 ( enactm5t ( ?is ,act4  7#c7           
,exam9ation ,! ,commission %all e/abli% 
or approve an exam9ation t complies )   
p>agraph 7#a7 no lat] ?an #ah mon?s aft]
 ! date ( enactm5t ( ?is ,act4  7b7     
,accr$it$ inve/or self-,c]tification    
,section #d7;b7 ( ! ,securities ,act (  
#aicc 7#ae ,u4,s4,c4 #gg;d7b77 is am5d$ 
by ins]t+ ,unless ! issu] kn[s1 or has a
 reckless disreg>d = :e!r1 ! pur*as] is 
n an accr$it$ inve/or1 obta9+ a         
self-c]tification f ! pur*as] t !       
pur*as] meets ! income or net wor?      
requirem5ts ( ,rule #eja ( ,regulation  
,d %all con/itute reasonable /eps to    
v]ify t pur*as]s ( ! securities are     
accr$it$ inve/ors4 aft] ! p]iod at !    
end4  7c7 ,modification ( rules  7#a7 ,9
 g5]al ,n lat] ?an #bgj days aft] ! date
 ( enactm5t ( ?is ,act1 ! ,commission   
%all revise section #bcj4eja7;a7 ( title
 #ag1 ,code ( ,f$]al ,regulations1 or   
any successor regulation1 to make       
p>allel *anges set =? 9 subsection 7a7 (
 ?is section1 & ! am5dm5ts made by t    

subsection1 & to add to ! def9ition ( ! 
t]m accr$it$ inve/or ! foll[+           
categories3 7,a7 ,any natural p]son ) at
 lea/ #ejj1jjj wor? ( inve/m5ts4  7,b7  
,any natural p]son ) total transactions 
dur+ a #ab-mon? p]iod "u section        
#bcj4ejf ( title #ag1 ,code ( ,f$]al    
,regulations1 & "u section #d7;a77#f7 ( 
! ,securities ,act ( #aicc 7#ae         
,u4,s4,c4 #gg;d7a77#f77 t are n great]  
?an ! highe/ am\nt ( ! foll[+3 7i7 #aj  
p]c5t ( ! total inve/m5ts ( ! p]son4    
7ii7 #aj p]c5t ( ! annual income ( !    
p]son or #aj p]c5t ( ! annual comb9$    
income ) t p]son's sp\se4  7iii7 #aj    
p]c5t ( ! net wor? ( ! p]son exclud+ !  
value ( ! p]son's pr9cipal place (      
resid5ce4  7#b7 ,def9itions  7,a7       
,def9itions ,9 ?is subsection3 7i7 ,ca% 
& ca% equival5ts ,! t]m ca% & ca%       
equival5ts includes-- 7,i7 bank         
deposits1 c]tificates ( deposit1 bank]s 
acceptances & simil> bank in/rum5ts held
 = inve/m5t purposes2 &  7,,ii7 ! net   
ca% surr5d] value ( an insurance policy4

  7ii7 ,commodity int]e/s ,! t]m        
commodity int]e/s means commodity       
futures contracts1 options on commodity 
futures contracts1 & options on physical
 commodities trad$ on or subject to !   
rules (-- 7,i7 any contract m>ket       
designat$ = trad+ su* transactions "u ! 
,commodity ,ex*ange ,act 7#g ,u4,s4,c4  
#a et seq47 & ! rules issu$ "u t ,act2  
or  7,,ii7 any bo>d ( trade or ex*ange  
outside ! ,unit$ ,/ates1 z describ$ 9 "p
 #cj ( title #ag1 ,code ( ,f$]al        
,regulations4  7iii7 ,digital assets ,! 
t]m digital assets-- 7,i7 means a       
digital repres5tation ( value t-- 7aa7  
is us$ z a m$ium ( ex*ange1 unit (      
acc\nt1 or /ore ( value2 &  7bb7 is n   
legal t5d]1 :e!r or n d5om9at$ 9 legal  
t5d]2 &  7,,ii7 does n include-- 7aa7 a 
transaction 9 :i* a m]*ant grants1 z "p 
( an aff9ity or rew>ds program1 value t 
_c be tak5 f or ex*ang$ ) ! m]*ant =    
legal t5d]1 bank cr$it1 or virtual      
curr5cy2 or  7bb7 a digital             
repres5tation ( value issu$ by or on    

behalf ( a publi%] & us$ solely )9 an   
onl9e game1 game plat=m1 or family (    
games sold by ! same publi%] or (f]$ on 
! same game plat=m4  7iv7 ,inve/m5t     
purposes ,! t]m inve/m5t purposes-- 7,i7
 includes-- 7aa7 real e/ate own$ by a   
prospective pur*as] :o is engag$        
prim>ily 9 ! bus9ess ( inve/+1 trad+1 or
 develop+ real e/ate 9 connection ) su* 
bus9ess2 &  7bb7 a commodity int]e/ or  
physical commodity own$1 or a f9ancial  
contract ent]$ into1 by ! prospective   
pur*as] :o is engag$ prim>ily 9 !       
bus9ess ( inve/+1 re9ve/+1 or trad+ 9   
commodity int]e/s1 physical commodities1
 or f9ancial contracts 9 connection )   
su* bus9ess2 &  7,,ii7 does n include   
real e/ate held = inve/m5t purposes by a
 prospective pur*as] if ! real e/ate is 
us$ by ! prospective pur*as]1 a sibl+1  
sp\se or =m] sp\se1 a direct l9eal      
desc5dant by bir? or adoption1 or sp\se 
( su* l9eal desc5dant or ance/or =      
p]sonal purposes or z a place ( bus9ess1
 or 9 connection ) ! conduct ( ! trade  

or bus9ess ( ! prospective pur*as] or   
su* relat$ p]son4  7v7 ,inve/m5ts ,! t]m
 inve/m5ts means-- 7,i7 securities1 z   
def9$ 9 section #b7;a7 ( ! ,securities  
,act ( #aicc 7#ae ,u4,s4,c4 #gg;b7a771  
o!r ?an securities issu$ by an issu] t  
is controll$ by ! prospective pur*as] t 
owns su* securities2  7,,ii7 real e/ate 
held = inve/m5t purposes2  7,,iii7      
commodity int]e/s held = inve/m5t       
purposes2  7,,iv7 physical commodities  
held = inve/m5t purposes2  7,v7 digital 
assets held = inve/m5t purposes2  7,,vi7
 to ! ext5t n securities1 f9ancial      
contracts 7z su* t]m is def9$ 9 section 
#c7;c77#b77;,b77ii7 ( ! ,inve/m5t       
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#c7;c77#b77;,b77ii777 ent]$ into =
 inve/m5t purposes2 &  7,,vii7 ca% & ca%
 equival5ts 7includ+ =eign curr5cies7   
held = inve/m5t purposes4  7vi7 ,p]sonal
 purposes ,! t]m p]sonal purposes does n
 include resid5tial real e/ate if       
d$uctions ) respect to su* real e/ate   
are n disall[$ by section #bhj;,a ( !   

,int]nal ,rev5ue ,code ( #aihf4  7vii7  
,physical commodities ,! t]m physical   
commodities means any physical commodity
 ) respect to :i* a commodity int]e/ is 
trad$ on a m>ket describ$ 9 clause      
7ii77,i74  7,b7 ,self-execution ,if !   
,commission does n revise its rules 9   
accordance ) ! deadl9e set =? 9 p>agraph
 7#a71 !n any p]son describ$ 9 p>agraph 
7#b7 %all be deem$ to be an accr$it$    
inve/or = all purposes "u ! ,f$]al      
securities laws 7includ+ regulations74  
7d7 ,adju/+ ! accr$it$ inve/or /&>d     
,section #dac ( ! ,private ,fund        
,inve/m5t ,advis]s ,regi/ration ,act (  
#bjaj 7#ae ,u4,s4,c4 #gg;b note7 is     
am5d$ by /rik+ subsection 7b7 & ins]t+ !
 foll[+3  7b7 ,review & adju/m5t  7#a7  
,9 g5]al ,! ,commission may und]take a  
review ( ! def9ition ( ! t]m accr$it$   
inve/or1 z su* t]m applies to natural   
p]sons1 to det]m9e :e!r ! requirem5ts ( 
! def9ition1 exclud+ ! requirem5t relat+
 to ! net wor? /&>d describ$ 9          
subsection 7a71 %\ld be adju/$ or       

modifi$ = ! protection ( inve/ors1 9 !  
public int]e/1 & 9 light ( ! economy4   
7#b7 ,adju/m5t or modification ,^u      
completion ( a review "u p>agraph 7#a71 
! ,commission may1 by notice & comm5t   
rulemak+1 make su* adju/m5ts to !       
def9ition ( ! t]m accr$it$ inve/or1     
exclud+ adju/+ or modify+ ! requirem5t  
relat+ to ! net wor? /&>d describ$ 9    
subsection 7a71 z su* t]m applies to    
natural p]sons1 z ! ,commission may deem
 appropriate = ! protection ( inve/ors1 
9 ! public int]e/1 & 9 light ( !        
economy4  4  #bjb4 ,enc\rag+ inve/m5ts 9
 ,ma9 ,/reet  7a7 ,9 g5]al ,n lat] ?an  
#ahj days aft] ! date ( enactm5t ( ?is  
,act1 ! ,commission1 9 consultation ) ! 
,secret>y ( ,labor1 %all conduct a /udy 
t exam9es ! impact ( limit+ retail      
inve/ors & def9$ contribution plans 7z  
def9$ 9 section #c ( ! ,employee        
,retirem5t ,income ,security ,act (     
#aigd 7#bi ,u4,s4,c4 #ajjb77 f inve/+ 9 
private placem5ts1 :i* %all consid]--   
7#a7 ! gr[? ( private m>kets2  7#b7 !   

ov]all decl9e 9 ! numb] ( issu]s1 !     
securities ( :i* are li/$ on national   
securities ex*anges2  7#c7 ! impact (   
retail inve/ors hav+ few] inve/m5t      
opportunities2  7#d7 ! b5efits (        
fiduci>y managem5t2 &  7#e7 ! b5efits ( 
inve/m5t div]sification & improve       
inve/m5t gr[? opportunities = long-t]m  
inve/ors4  7b7 ,report ,n lat] ?an #a   
ye> aft] ! date ( enactm5t ( ?is ,act1 !
 ,commission %all submit to ! ,committee
 on ,bank+1 ,h\s+1 & ,urban ,affairs ( !
 ,s5ate1 ! ,committee on ,f9ance ( !    
,s5ate1 ! ,committee on ,f9ancial       
,s]vices ( ! ,h\se ( ,repres5tatives1 & 
! ,committee on ,ways & ,means ( ! ,h\se
 ( ,repres5tatives a report conta9+ !   
results ( ! /udy conduct$ "u subsection 
7a74  #bjc4 ,ma9 ,/reet inve/or         
confid5ce ,! ,f9ancial ,lit]acy &       
,education ,commission ( ! ,dep>tm5t ( !
 ,treasury1 9 coord9ation ) ! ,(fice (  
,inve/or ,education & ,advocacy & !     
,(fice ( ! ,inve/or ,advocate ( !       
,commission1 %all-- 7#a7 conduct a /udy1

 aft] provid+ notice & an opportunity = 
public comm5t1 includ+ f retail inve/ors
 9 ! ,unit$ ,/ates1 on ! levels (       
inclusion & p>ticipation1 education 91 &
 confid5ce ( ! p ( ! ,unit$ ,/ates 9 !  
capital m>ket sy/em ( ! ,unit$ ,/ates2 &
  7#b7 n lat] ?an #a ye> aft] ! date (  
enactm5t ( ?is ,act1 submit to !        
,committee on ,bank+1 ,h\s+1 & ,urban   
,affairs1 ! ,committee on ,heal?1       
,education1 ,labor1 & ,p5sions1 & !     
,committee on ,f9ance ( ! ,s5ate & !    
,committee on ,f9ancial ,s]vices & !    
,committee on ,education & ! ,work=ce ( 
! ,h\se ( ,repres5tatives recomm5dations
 to enhance ,f$]al f9ancial lit]acy     
programs1 inclusion1 & m>ket confid5ce =
 ! av]age retail inve/ors4  #bjd4       
,increas+ inve/or opportunities  7a7 ,9 
g5]al ,section #e ( ! ,inve/m5t ,company
 ,act ( #aidj 7#ae ,u4,s4,c4 #hj;a-#e7  
is am5d$ 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 prohibit or o!rwise   
limit a clos$-end company f inve/+ any  
or all ( ! assets ( ! clos$-end company 
9 securities issu$ by private funds4    
7#b7 ,o!r re/rictions on ,commission    
au?ority  7,a7 ,9 g5]al ,except z       
o!rwise prohibit$ or re/rict$ by ?is    
,act 7or any rule issu$ "u ?is ,act71 or
 to ! ext5t p]mitt$ by subp>agraph 7,b71
 ! ,commission may n impose any         
condition on1 re/rict1 or o!rwise       
limit-- 7i7 ! (f] to sell1 or ! sale (1 
securities issu$ by a clos$-end company 
t inve/s1 or proposes to inve/1 9       
securities issu$ by private funds2 or   
7ii7 ! li/+ ( ! securities ( a clos$-end
 company describ$ 9 clause 7i7 on a     
national securities ex*ange4  7,b7      
,unrelat$ re/rictions ,! ,commission may
 impose a condition on1 re/rict1 or     
o!rwise limit an activity describ$ 9    
clause 7i7 or 7ii7 ( subp>agraph 7,a7 if
 t condition1 re/riction1 or limitation 
is unrelat$ to ! und]ly+ *>act]i/ics ( a

 private fund or ! /atus ( a private    
fund z a private fund4  7#c7            
,application ,not)/&+ section #f7;f71   
?is subsection %all apply to a clos$-end
 company t elects to be treat$ z a      
bus9ess developm5t company pursuant to  
section #ed4  4  7b7 ,def9ition (       
private fund ,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 has ! mean+ giv5 ! t]m 9   
section #bjb7;a7 ( ! ,inve/m5t ,advis]s 
,act ( #aidj 7#ae ,u4,s4,c4             
#hj;b-#b7;a774  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  
,except z o!rwise prohibit$ or re/rict$ 
by ! rules ( ! ex*ange 9 a mann] t is   
consi/5t ) section #e7;d7 ( ! ,inve/m5t 
,company ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;a-#e7;d771 ! ex*ange does n         
prohibit1 condition1 re/rict1 or impose 

any o!r limitation on ! li/+ or trad+ ( 
! securities ( a clos$-end company :5 ! 
clos$-end company inve/s1 or may inve/1 
"s or all ( ! assets ( ! clos$-end      
company 9 securities issu$ by private   
funds4  7,b7 ,9 ?is p>agraph-- 7i7 ! t]m
 clos$-end company-- 7,i7 has ! mean+   
giv5 ! t]m 9 section #e7;a7 ( !         
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#e7;a772 &  7,,ii7      
includes a clos$-end company t elects to
 be treat$ z a bus9ess developm5t       
company pursuant to section #ed ( !     
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#ec72 &  7ii7 ! t]m     
private fund has ! mean+ giv5 ! t]m 9   
section #b7;a7 ( ! ,inve/m5t ,company   
,act ( #aidj 7#ae ,u4,s4,c4             
#hj;a-#b7;a774  4  7d7 ,inve/m5t        
limitation ,section #c7;c7 ( ! ,inve/m5t
 ,company ,act ( #aidj 7#ae ,u4,s4,c4   
#hj;a-#c7;c77 is am5d$-- 7#a7 9 p>agraph
 7#a71 9 ! matt] prec$+ subp>agraph     
7,a71 9 ! second s5t5ce1 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  
#bje4 ,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 (  
#aicc 7#ae ,u4,s4,c4 #gg;c7a77#b77;,c772
  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-- 7,i7 if-- 7aa7 su* plan 
is subject to title ,i ( ! ,employee    
,retirem5t ,income ,security ,act (     
#aigd 7#bi ,u4,s4,c4 #ajja et seq472    
7bb7 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  7cc7 su* plan is a gov]nm5tal plan 
7z def9$ 9 section #dad7;d7 ( su*       
,code72 &  7,,ii7 if ! employ]1 a       
fiduci>y ( ! plan1 or ano!r p]son act+  
on behalf ( ! employ] reviews & approves
 ea* inve/m5t alt]native (f]$ "u su*    
plan describ$ "u subclause 7,i77cc7     
prior to ! inve/m5t be+ (f]$ to         
p>ticipants 9 ! plan2 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 7#ae ,u4,s4,c4 
#gg;e7 by section #c7;a77#b77;,c7 ( su* 
,act 7#ae ,u4,s4,c4 #gg;c7a77#b77;,c772 
7iii7 advances made by an insurance     
company 9 connection ) ! op]ation ( su* 
sep>ate acc\nt2 &  7iv7 contributions to
 a plan describ$ 9 clause 7iii7 or 7iv7 
( subp>agraph 7,d74  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+ b5efici>ies1 or 7,d7 &    
ins]t+ b5efici>ies1 7,d7 a plan :i*     
meets ! requirem5ts ( section #djc7;b7 (
 su* ,code 7i7 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 & 7ii7 if !      
employ]1 a fiduci>y ( ! plan1 or ano!r  
p]son act+ on behalf ( ! employ] reviews
 & approves ea* inve/m5t alt]native (f]$
 "u any plan describ$ "u clause         
7i77,,iii7 prior to ! inve/m5t be+ (f]$ 
to p>ticipants 9 ! plan1 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$ & all t foll[s ?r\gh
 retirem5t income acc\nt74 & ins]t+     
7iii7 9 ! case ( a plan n describ$ 9    
subp>agraph 7,d7 or 7,e71 :i* is a plan 
fund$ by an annuity contract describ$ 9 
section #djc7;b7 ( su* ,code4  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 7,i7 if 7aa7 su*   
plan is subject to title ,i ( !         
,employee ,retirem5t ,income ,security  
,act ( #aigd 7#bi ,u4,s4,c4 #ajja et    
seq471 7bb7 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 7cc7 su* plan is a gov]nm5tal
 plan 7z def9$ 9 section #dad7;d7 ( su* 
,code71 & 7,,ii7 if ! employ]1 a        
fiduci>y ( ! plan1 or ano!r p]son act+  
on behalf ( ! employ] reviews & approves
 ea* inve/m5t alt]native (f]$ "u any    
plan describ$ "u subclause 7,i77cc7     
prior to ! inve/m5t be+ (f]$ to         
p>ticipants 9 ! plan1 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  7d7 ,con=m+ ,am5dm5t to ! 
,securities ,ex*ange ,act ( #aicd       

,section #ab7;g77#b77;,h7 ( !           
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghl7g77#b77;,h77 is am5d$ by 
/rik+ or 7iii7 & ins]t+ 7iii7 a plan    
describ$ 9 section #c7;a77#ab77;,c77iv7 
( ?is ,act1 or 7iv74  ,,iii ,fo/]+      
inve/or confid5ce 9 m>ket integrity1    
fairness1 & transp>5cy  #cja4 ,/udy     
reg>d+ retail inve/or readability (     
f9ancial /atem5ts  7a7 ,9 g5]al ,!      
,commission %all conduct a /udy to      
id5tify-- 7#a7 ! level ( readability (  
f9ancial /atem5ts1 includ+ all public   
disclosures1 among retail inve/ors1     
includ+ subgr\ps ( inve/ors id5tifi$ by 
! ,commission1 z ( ! date ( enactm5t (  
?is ,act2  7#b7 me?ods to improve !     
tim+1 cont5t1 & =mat ( disclosures to   
inve/ors ) respect to f9ancial          
int]m$i>ies1 inve/m5t products1 &       
inve/m5t s]vices2  7#c7 ! mo/ useful &  
und]/&able relevant in=mation t retail  
inve/ors ne$ to make in=m$ f9ancial     
decisions be=e engag+ a f9ancial        
int]m$i>y or pur*as+ an inve/m5t product

 or s]vice t is typically sold to retail
 inve/ors1 includ+ %>es ( op5-end       
companies1 z def9$ 9 section #e ( !     
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#e71 t are regi/]$ "u   
section #h ( t ,act 7#ae ,u4,s4,c4      
#hj;a-#h72  7#d7 me?ods to increase !   
transp>5cy ( exp5ses & conflicts (      
int]e/s 9 transactions involv+ inve/m5t 
s]vices & products1 includ+ %>es (      
op5-end companies describ$ 9 p>agraph   
7#c72  7#e7 ! mo/ effective exi/+       
private & public ef=ts to educate       
inve/ors2 &  7#f7 9 consultation ) !    
,f9ancial ,lit]acy & ,education         
,commission1 a /rategy 7includ+1 to !   
ext5t practicable1 measurable goals &   
objectives7 to increase ! f9ancial      
lit]acy ( inve/ors 9 ord] to br+ ab\t a 
positive *ange 9 inve/or behavior4  7b7 
,report ,n lat] ?an #a ye> aft] ! date (
 enactm5t ( ?is ,act1 ! ,commission %all
 submit to ! ,committee on ,bank+1      
,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! 
,committee on ,f9ancial ,s]vices ( !    

,h\se ( ,repres5tatives a report on !   
/udy requir$ "u subsection 7a74  7c7    
,regulations ,! ,commission %all        
promulgate regulations t address &      
improve ! readability ( f9ancial        
/atem5ts1 includ+ all public            
disclosures1 ) ! goals ( elim9at+       
legalese1 duplication1 & r$undant       
disclosures4  #cjb4 ,duties ( ,ombudsman
 relat+ to ,regulation ,cr[dfund+       
,section #d7;g77#h7 ( ! ,securities     
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gh;d7g77#h77 is am5d$-- 7#a7 9         
subp>agraph 7,b7-- 7,a7 by r$esignat+   
clauses 7ii7 & 7iii7 z clauses 7iii7 &  
7iv71 respectively2 &  7,b7 by ins]t+   
aft] clause 7i7 ! foll[+3  7ii7 act z a 
liaison betwe5 ! ,commission1 small     
bus9esses1 int]m$i>ies1 & o!r entities  
subject to ! regulations "u "p #bbg (   
title #ag1 ,code ( ,f$]al ,regulations1 
or any successor regulation2  2 &  7#b7 
9 subp>agraph 7,d7-- 7,a7 9 !           
subp>agraph head+1 by /rik+ ,report &   
ins]t+ ,reports2  7,b7 by /rik+ ,!      

,ombudsman & ins]t+ ! foll[+3  7i7      
,semiannual report to ,inve/or ,advocate
 ,! ,ombudsman  2 &  7,c7 by add+ at !  
foll[+3  7ii7 ,annual report to         
,congress on ,regulation ,cr[dfund+ ,!  
,ombudsman %all submit to ! ,committee  
on ,bank+1 ,h\s+1 & ,urban ,affairs & ! 
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives a report-- 7,i7 
on activities ( ! ,ombudsman relat+ to !
 duties describ$ 9 subp>agraph 7,b77ii72
 &  7,,ii7 t includes recomm5dations on 
regulatory *anges to improve effici5cy &
 access to capital = entities subject to
 ! regulations "u "p #bbg ( title #ag1  
,code ( ,f$]al ,regulations1 or any     
successor regulation4  4  #cjc4         
,publication on economic data on        
securities m>kets  7a7 ,9 g5]al ,!      
,division ( ,economic & ,risk ,analysis 
( ! ,commission %all annually publi%    
data on ! foll[+ ) respect to a ye>3    
7#a7 ,! numb] ( (f]+s1 & (f]+ am\nts by 
type1 :i* %all include1 ) respect to ea*
 (f]+1 ! type ( issu]1 ! type (         

security1 & ! type ( exemption1 if      
applicable4  7#b7 ,! co/ ( p]=m+ an     
(f]+1 includ+ ! ongo+ co/s ( p]=m+ a    
p>ticul> type ( (f]+ 7su* z ! requirem5t
 to file c]ta9 =ms ) ! ,commission71 :i*
 %all be disaggregat$ by-- 7,a7 7i7 !   
size & type ( issu]2 &  7ii7 ! exemption
 us$ by issu]s ) respect to ! p>ticul>  
(f]+2 or  7,b7 ! regi/]$ /atus ( issu]s4
  7#c7 ,! co/s to issu]s ( comply+ ) !  
,s>banes-,oxley ,act ( #bjjb 7#ae       
,u4,s4,c4 #gbja et seq47 7& ! rules     
issu$ "u t ,act71 includ+ ! am\nts paid 
by issu]s to regi/]$ public acc\nt+     
firms 9 connection ) t compliance4  7#d7
 ,all public en=cem5t actions tak5 by ! 
,commission & self-regulatory           
organizations aga9/ p]sons )9 !         
jurisdiction ( ^? entities1 includ+--   
7,a7 ! numb] & types ( violations ( any 
provision ( law 7includ+ regulations7 t 
ei!r su* entity is au?oriz$ to en=ce2   
7,b7 ! numb] & types ( violators2 &     
7,c7 ! am\nt ( money collect$ 9 p5alties
 z a result ( t en=cem5t4  7#e7 ,m>ket  

capitalization by type ( issu] &        
security4  7#f7 ,! numb] ( report+      
companies1 ,regulation ,a issu]s1 &     
cr[dfund+ issu]s4  7#g7 ,trad+ volumes  
by ex*ange or alt]native trad+ sy/em4   
7#h7 ,m>ket p>ticipants1 includ+ ! numb]
 &1 if relevant1 size (-- 7,a7          
brok]-deal]s2  7,b7 regi/]$             
repres5tatives2  7,c7 ex*anges2  7,d7   
alt]native trad+ sy/ems2  7,e7 inve/m5t 
companies2  7,f7 inve/m5t advis]s       
regi/]$ ) ! ,commission "u ! ,inve/m5t  
,advis]s ,act ( #aidj 7#ae ,u4,s4,c4    
#hj;b-#a et seq472 &  7,g7 o!r entities 
det]m9$ appropriate by ! ,commission4   
7b7 ,publication ( data ,9 annually     
publi%+ ! data requir$ "u subsection    
7a71 ! ,division ( ,economic & ,risk    
,analysis ( ! ,commission %all-- 7#a7   
publi% t data = ea* ( ! #aj ye>s prec$+ 
! date ( publication2 &  7#b7 make !    
data describ$ 9 p>agraph 7#a7-- 7,a7    
available z an op5 ,gov]nm5t data set2  
7,b7 freely available = d[nload 9 bulk2 
&  7,c7 r5d]$ 9 a human-readable =mat4  

#cjd4 ,/udy on ,,ipo fees  7a7          
,def9itions ,9 ?is section3 7#a7 ,,ipo  
,! t]m ,,ipo means an initial public    
(f]+4  7#b7 ,small- & m$ium-siz$ company
 ,! t]m small- & m$ium-siz$ company     
means an issu] ) an initial public float
 det]m9ation ( less ?an #gjj1jjj1jjj4   
7b7 ,/udy  7#a7 ,9 g5]al ,! ,commission1
 9 consultation ) ! ,f9ancial ,indu/ry  
,regulatory ,au?ority1 %all c>ry out a  
/udy ( ! co/s associat$ ) small- &      
m$ium-siz$ companies to und]take ,i,p,os
 & ,ti] #b (f]+s1 z def9$ 9 section     
#bcj4bea ( title #ag1 ,code ( ,f$]al    
,regulations1 or any successor          
regulation4  7#b7 ,requirem5ts ,9 c>ry+ 
out ! /udy requir$ "u p>agraph 7#a71 !  
,commission %all-- 7,a7 consid] ! direct
 & indirect co/s ( an ,,ipo1 includ+--  
7i7 fees1 su* z gross spreads paid to   
und]writ]s1 promot]s1 inve/m5t advisory 
firms1 & o!r pr(essionals2  7ii7        
compliance ) ,f$]al & ,/ate securities  
laws at ! "t ( ! ,,ipo2 &  7iii7 su* o!r
 ,,ipo-relat$ co/s z ! ,commission      

det]m9es appropriate2  7,b7 comp>e &    
analyze ! co/s ( an ,,ipo ) ! co/s (    
obta9+ alt]native s\rces ( f9anc+ & (   
liquidity2  7,c7 consid] ! impact ( !   
co/s ( an ,,ipo on capital =mation2     
7,d7 analyze ! impact ( ! co/s ( an     
,,ipo on ! availability ( public        
securities ( small- & m$ium-siz$        
companies to retail inve/ors2 &  7,e7   
analyze tr5ds 9 ,i,p,os ov] a "t p]iod !
 ,commission det]m9es is appropriate to 
analyze ,,ipo pric+ practices1          
consid]+-- 7i7 ! numb] ( ,i,p,os2  7ii7 
h[ co/s = ,i,p,os h evolv$ ov] "t1      
includ+ fees paid to und]writ]s1        
inve/m5t advisory firms1 f9ancial       
advis]s1 & o!r pr(essions = s]vices 9   
connection ) an ,,ipo2  7iii7 ! numb] ( 
brok]s & deal]s active 9 und]writ+      
,i,p,os2  7iv7 ! diff]5t types ( s]vices
 t und]writ]s1 promot]s1 inve/m5t       
advisory firms1 & o!r pr(essionals      
provide be=e & aft] a small- or         
m$ium-siz$ company ,,ipo & ! factors    
impact+ und]writ+ co/s2  7v7 *anges 9 ! 

co/s & availability ( inve/m5t rese>* = 
small- & m$ium-siz$ companies2 &  7vi7  
any o!r consid]ation ! ,commission      
consid]s necess>y & appropriate4  7c7   
,report ,n lat] ?an #a ye> aft] ! date (
 enactm5t ( ?is ,act1 ! ,commission %all
 submit to ,congress a report conta9+   
all f9d+s & det]m9ations made 9 c>ry+   
out ! /udy requir$ "u subsection 7b7 &  
any adm9i/rative or legislative         
recomm5dations ! ,commission may h )    
respect to ! matt]s consid]$ "u ! /udy4 
#cje4 ,exclusions available reg>dless ( 
significant social policy issue ,an     
issu] may exclude a %>ehold] proposal   
pursuant to section #bdj4ad;a-#h7;i7 (  
title #ag1 ,code ( ,f$]al ,regulations1 
or any successor regulation1 )\t reg>d  
to :e!r t %>ehold] proposal relates to a
 significant social policy issue4  ,,iv 
,hold+ regulators acc\ntable ?r\gh      
increas$ ov]sight  #dja4 ,requir$       
te/imony ,section #d ( ! ,securities    
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#gh;d7 is am5d$ by add+ at ! end !      

foll[+3  7l7 ,requir$ te/imony ,n lat]  
?an #ahj days aft] ! date ( enactm5t (  
?is subsection1 & semiannually !reaft]1 
! ,*airman ( ! ,commission %all appe>   
be=e ! ,committee on ,bank+1 ,h\s+1 &   
,urban ,affairs ( ! ,s5ate & !          
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives reg>d+ !        
activities ( ! ,commission4  4  #djb4   
,semiannual report ,section #bc ( !     
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghw7 is am5d$ by add+ at !   
end ! foll[+3  7e7 ,semiannual report on
 regulatory & en=cem5t actions ,n lat]  
?an #ahj days aft] ! date ( enactm5t (  
?is subsection1 & semiannually !reaft]1 
! ,*airman ( ! ,commission %all submit  
to ,congress a report t includes-- 7#a7 
an ov]view ( ! capital m>kets sy/em ( ! 
,unit$ ,/ates2  7#b7 ! regulatory       
actions & ag5da ( ! ,commission1        
includ+1 = ! p]iod cov]$ by ! report1   
all actions ! ,commission has tak5 to   
protect inve/ors1 ma9ta9 fair1 ord]ly1 &
 effici5t m>kets1 & facilitate capital  

=mation2  7#c7 ) respect to capital     
=mation *all5ges & *all5ges to access+  
capital = small bus9esses1 includ+      
m9ority1 wom5-own$1 & rural small       
bus9esses-- 7,a7 ! /atus ( en=cem5t     
actions ( ! ,commission1 :i* %all       
include in=mation reg>d+-- 7i7 = ! p]iod
 cov]$ by ! report1 ! av]age am\nt ( "t 
x takes = ! ,commission to op5 &        
complete su* an action2 &  7ii7 !       
outcome ( ea* su* action t 0 resolv$    
dur+ ! p]iod cov]$ by ! report2 &  7,b7 
any assessm5ts ( ! ,commission2 &  7#d7 
in=mation on ! publication ( economic   
data on securities m>kets by ! ,division
 ( ,economic & ,risk ,analysis ( !      
,commission4  4  #djc4 ,rulemak+        
requirem5ts  7a7 ,consid]ation ( ! co/s 
& b5efits ( ,commission regulations &   
c]ta9 o!r ag5cy actions  7#a7 ,9 g5]al  
,section #bc ( ! ,securities ,ex*ange   
,act ( #aicd 7#ae ,u4,s4,c4 #ghw71 z    
am5d$ by section #djb1 is am5d$ by add+ 
at ! end ! foll[+3  7f7 ,consid]ation ( 
co/s & b5efits  7#a7 ,rulemak+ def9$ ,9 

?is subsection1 ! t]m rulemak+ does n   
include-- 7,a7 a regulation issu$ 9     
accordance ) ! =mal rulemak+ provisions 
( section #eef or #eeg ( title #e1      
,unit$ ,/ates ,code2  7,b7 a regulation 
t is limit$ to ag5cy organization1      
managem5t1 or p]sonnel matt]s2  7,c7 a  
regulation promulgat$ pursuant to       
/atutory au?ority t expressly prohibits 
compliance ) ?is provision2 &  7,d7 a   
regulation t is c]tifi$ by ! ag5cy to be
 an em]g5cy action1 if su* c]tification 
is publi%$ 9 ! ,f$]al ,regi/]4  7#b7    
,requirem5ts ,:5 issu+ a rulemak+ "u !  
securities laws1 ! ,commission %all--   
7,a7 cle>ly id5tify ! nature & s\rce ( !
 problem t ! rulemak+ is design$ to     
address1 z well z assess ! significance 
( t problem1 to enable assessm5t ( :e!r 
any new regulation is w>rant$2  7,b7    
utilize ! ,*ief ,economi/ to assess !   
co/s & b5efits1 bo? qualitative &       
quantitative1 ( ! rulemak+ & propose or 
adopt a rulemak+ only on a reason$      
det]m9ation t ! b5efits ( ! rulemak+    

ju/ify ! co/s ( ! rulemak+2  7,c7 9     
assess+ ! co/s & b5efits ( ! rulemak+ "u
 subp>agraph 7,b71 utilize ! ,*ief      
,economi/ to articulate ! appropriate   
economic basel9e aga9/ :i* to measure ! 
likely economic impact ( ! rulemak+2    
7,d7 id5tify & assess reasonable        
available alt]natives to ! rulemak+ t 7 
consid]$1 includ+ modification ( an     
exi/+ rulemak+1 toge!r ) an explanation 
( :y ! rulemak+ meets ! objectives ( !  
rulemak+ m effectively ?an ! reasonable 
alt]natives2  7,e7 id5tify & assess     
available alt]natives to ! regulation t 
! ,commission consid]$1 includ+         
modification ( an exi/+ regulation1     
toge!r ) an explanation ( :y !          
regulation meets ! regulatory objectives
 m effectively ?an ! alt]natives2  7,f7 
ensure t any regulation is accessible1  
consi/5t1 writt5 9 pla9 language1 & easy
 to und]/&2 &  7,g7 measure1 & seek to  
improve1 ! actual results ( regulatory  
requirem5ts4  7#c7 ,consid]ations &     
actions ,9 decid+ :e!r & h[ to regulate1

 ! ,commission %all assess ! co/s &     
b5efits ( reasonable available          
alt]natives1 includ+ ! alt]native ( n   
regulat+1 & *oose ! approa* t maximizes 
net b5efits1 includ+ by-- 7,a7 consi/5t 
) ! requirem5ts ( section #c7;f7 ( ?is  
,act1 section #b7;b7 ( ! ,securities    
,act ( #aicc 7#ae ,u4,s4,c4 #gg;b7b771  
section #bjb7;c7 ( ! ,inve/m5t ,advis]s 
,act ( #aidj 7#ae ,u4,s4,c4             
#hj;b-#b7;c771 & section #b7;c7 ( !     
,inve/m5t ,company ,act ( #aidj 7#ae    
,u4,s4,c4 #hj;a-#b7;c771 consid]+ :e!r !
 rulemak+1 9 addition to be+ 9 ! int]e/ 
( protect+ inve/ors1 w promote          
effici5cy1 competition1 & capital       
=mation2  7,b7 evaluat+ :e!r1 consi/5t )
 obta9+ regulatory objectives1 !        
regulation is tailor$ to impose ! lea/  
burd5 on society1 includ+ m>ket         
p>ticipants1 individuals1 bus9esses (   
diff]+ sizes1 & o!r entities 7includ+   
,/ate & local gov]nm5tal entities71 tak+
 into acc\nt1 to ! ext5t practicable1 ! 
cumulative co/s ( regulations2 &  7,c7  

evaluate :e!r ! rulemak+ is inconsi/5t1 
incompatible1 or duplicative ( o!r      
,f$]al regulations4  7#d7 ,explanation &
 comm5ts ,9 issu+ any f9al regulation1 !
 ,commission %all-- 7,a7 expla9 ! nature
 ( comm5ts receiv$ by ! ,commission2 &  
7,b7 provide a response to ^? comm5ts1  
includ+ an explanation ( any *anges t 7 
made 9 response to ^? comm5ts & !       
reasons t ! ,commission did n           
incorporate any conc]ns relat$ to !     
pot5tial co/s or b5efits 9 ! f9al       
regulation4  7#e7 ,public availability  
,! ,commission %all-- 7,a7 make         
available to ! public 9 an onl9e        
depository all economic analyses1       
includ+ analyses on m>ket failure1 p]=m$
 by ! /aff ( ! ,commission1 includ+ su* 
analyses p]=m$ by ! ,division (         
,economic & ,risk ,analysis1 ) respect  
to a rulemak+ "u ! securities laws2 &   
7,b7 take appropriate /eps to protect   
any non-public data conta9$ 9 any       
economic analysis includ$ 9 ! onl9e     
depository describ$ 9 subp>agraph 7,a71 

:i* may include anonymiz+1 aggregat+1 or
 employ+ o!r measures z ! ,commission   
deems appropriate to protect su* data   
:ile also provid+ = its public          
availability4  4  7#b7 ,s5se ( ,congress
 relat+ to o!r regulatory entities ,x is
 ! s5se ( ,congress t ! ,public ,company
 ,acc\nt+ ,ov]sight ,bo>d %\ld be       
subject to ! requirem5ts ( subsection   
7f7 ( section #bc ( ! ,securities       
,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4    
#ghw71 z add$ by p>agraph 7#a74  7b7    
,consid]ations ) respect to rulemak+    
7#a7 ,rules "u ! ,securities ,act (     
#aicc ,section #b7;b7 ( ! ,securities   
,act ( #aicc 7#ae ,u4,s4,c4 #gg;b7b77 is
 am5d$ by ins]t+ 1 :5 consid]$          
individually or cumulatively ) o!r rules
 or regulations or o!r propos$ rules or 
regulations1 be=e w promote4  7#b7      
,rules "u ! ,securities ,ex*ange ,act ( 
#aicd ,section #bc7;a77#b7 ( !          
,securities ,ex*ange ,act ( #aicd 7#ae  
,u4,s4,c4 #ghw7a77#b77 is am5d$1 9 !    
second s5t5ce1 by ins]t+ 1 :5 consid]$  

individually or cumulatively ) o!r rules
 or regulations or o!r propos$ rules or 
regulations1 aft] :i* w\ld4  7#c7 ,rules
 "u ! ,inve/m5t ,company ,act ( #aidj   
,section #b7;c7 ( ! ,inve/m5t ,company  
,act ( #aidj 7#ae ,u4,s4,c4             
#hj;a-#b7;c77 is am5d$ by ins]t+ 1 :5   
consid]$ individually or cumulatively ) 
o!r rules or regulations or o!r propos$ 
rules or regulations1 be=e w promote4   
7#d7 ,rules "u ! ,inve/m5t ,advis]s ,act
 ( #aidj ,section #bjb7;c7 ( ! ,inve/m5t
 ,advis]s ,act ( #aidj 7#ae ,u4,s4,c4   
#hj;b-#b7;c77 is am5d$ by ins]t+ 1 :5   
consid]$ individually or cumulatively ) 
o!r rules or regulations or o!r propos$ 
rules or regulations1 be=e w promote4   
#djd4 ,s5ate confirmation ( ,inspector  
,g5]al ( ! ,securities & ,ex*ange       
,commission ,*apt] #d ( title #e1 ,unit$
 ,/ates ,code1 is am5d$-- 7#a7 9 section
 #dja1 by ins]t+ ! ,securities &        
,ex*ange ,commission1 aft] ,national    
,security ,ag5cy12 &  7#b7 9 section    
#dae7;a77#a77;,a71 by /rik+ !           

,securities & ,ex*ange ,commission14