[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 3576 Introduced in Senate (IS)]

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115th CONGRESS
  2d Session
                                S. 3576

    To require the Securities and Exchange Commission to revise the 
    definitions of a qualifying portfolio company and a qualifying 
    investment to include an emerging growth company and the equity 
securities of an emerging growth company, respectively, for purposes of 
the exemption from registration for venture capital fund advisers under 
                  the Investment Advisers Act of 1940.


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                   IN THE SENATE OF THE UNITED STATES

                            October 11, 2018

  Mr. Rounds introduced the following bill; which was read twice and 
    referred to the Committee on Banking, Housing, and Urban Affairs

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                                 A BILL


 
    To require the Securities and Exchange Commission to revise the 
    definitions of a qualifying portfolio company and a qualifying 
    investment to include an emerging growth company and the equity 
securities of an emerging growth company, respectively, for purposes of 
the exemption from registration for venture capital fund advisers under 
                  the Investment Advisers Act of 1940.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the Developing and Empowering our Aspiring 
Leaders Act of 2018.

SEC. 2. DEFINITIONS.

    Not later than 180 days after the date of enactment of this Act, 
the Securities and Exchange Commission shall--
            (1) revise paragraph (a) of section 275.203(l)-1 of title 
        17, Code of Federal Regulations, to require, as a condition of 
        a private fund qualifying as a venture capital fund under that 
        paragraph, that the qualifying investments of the private fund 
        are predominantly qualifying investments that were acquired 
        directly from a qualifying portfolio company; and
            (2) revise the definition of a qualifying investment under 
        section 275.203(l)-1(c) of title 17, Code of Federal 
        Regulations, to include an equity security issued by a 
        qualifying portfolio company, whether acquired directly from 
        the company or in a secondary acquisition.
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