On August 26, 2020, the Securities and Trade Fee (“SEC”) issued a press launch indicating that it had adopted amendments to the definition of “accredited investor.” The amendments, amongst different issues, added to the checklist of people who qualify as accredited traders, holders in good standing of a Collection 7, Collection 65, or Collection 82 license. The amendments additionally up to date the definition of accredited investor to incorporate, with respect to investments in personal funds, pure individuals who’re “educated workers” as outlined in Rule 3c(5)(a)(4) of the Funding Firm Act of 1940. This modification may show vital for personal funds with beneath $5 million is property beneath administration which want to permit sure workers to take part within the personal fund’s providing.
The SEC’s launch could be discovered right here: https://www.sec.gov/news/press-release/2020-191.
The Last Rule adopting such amendments could be discovered right here: https://www.sec.gov/rules/final/2020/33-10824.pdf.
This text is for normal info solely. The data introduced shouldn’t be construed to be formal authorized recommendation nor the formation of a lawyer/shopper relationship.