summary
Introduced
07/16/2025
07/16/2025
In Committee
07/22/2025
07/22/2025
Crossed Over
Passed
Dead
Introduced Session
119th Congress
Bill Summary
A BILL To require the Securities and Exchange Commission to revise the definition of a qualifying investment, for purposes of the exemption from registration for venture capital fund advisers under the Investment Advisers Act of 1940, to include an equity security issued by a qualifying portfolio company and to include an investment in another venture capital fund, and for other purposes.
AI Summary
This bill requires the Securities and Exchange Commission (SEC) to update the definition of a "qualifying investment" for venture capital fund advisers within 180 days of the Act's enactment. Specifically, the bill expands the definition to include equity securities issued by qualifying portfolio companies (whether bought directly from the company or through a secondary acquisition) and investments in other venture capital funds. Additionally, the bill mandates that for a private fund to qualify as a venture capital fund, at least 51% of its aggregate capital contributions and uncalled committed capital must be equity securities acquired directly from a qualifying portfolio company, while allowing up to 49% of those funds to be invested in other venture capital funds or securities obtained through secondary acquisitions. This modification aims to provide more flexibility for venture capital funds in their investment strategies and broaden the scope of what can be considered a qualifying investment under existing regulations.
Committee Categories
Business and Industry
Sponsors (2)
Last Action
Placed on the Union Calendar, Calendar No. 203. (on 09/08/2025)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
Document Type | Source Location |
---|---|
State Bill Page | https://www.congress.gov/bill/119th-congress/house-bill/4429/all-info |
BillText | https://www.congress.gov/119/bills/hr4429/BILLS-119hr4429rh.pdf |
BillText | https://www.congress.gov/119/bills/hr4429/BILLS-119hr4429ih.pdf |
Loading...