[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 5121 Introduced in Senate (IS)]
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118th CONGRESS
2d Session
S. 5121
To amend the Securities Act of 1933 and the Dodd-Frank Wall Street
Reform and Consumer Protection Act with respect to the definition of
the term ``accredited investor'', and for other purposes.
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IN THE SENATE OF THE UNITED STATES
September 19, 2024
Mr. Hagerty 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 amend the Securities Act of 1933 and the Dodd-Frank Wall Street
Reform and Consumer Protection Act with respect to the definition of
the term ``accredited investor'', and for other purposes.
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 ``Accredited Investor Definition
Review Act''.
SEC. 2. CERTIFICATIONS, DESIGNATIONS, AND CREDENTIALS UNDER THE
DEFINITION OF ACCREDITED INVESTOR.
Section 2(a)(15) of the Securities Act of 1933 (15 U.S.C.
77b(a)(15)) is amended--
(1) by redesignating clauses (i) and (ii) as subparagraphs
(A) and (B), respectively;
(2) in subparagraph (A), as so redesignated, by striking
``adviser; or'' and inserting ``adviser;'';
(3) in subparagraph (B), as so redesignated, by striking
the period at the end and inserting ``; or''; and
(4) by adding at the end the following:
``(C) an individual holding such certifications,
designations, or credentials--
``(i) as the Commission determines
necessary or appropriate in the public interest
or for the protection of investors; and
``(ii) that are not less broad than those
certifications, designations, or credentials
described in the amendments made to section
230.501 of title 17, Code of Federal
Regulations, by the final rule of the
Commission entitled `Accredited Investor
Definition' (85 Fed. Reg. 64234 (October 9,
2020)).''.
SEC. 3. PERIODIC REVIEW OF CERTIFICATIONS, DESIGNATIONS, AND
CREDENTIALS.
Section 413(b) of the Dodd-Frank Wall Street Reform and Consumer
Protection Act (15 U.S.C. 77b note) is amended by adding at the end the
following:
``(3) Periodic review of certifications, designations, and
credentials.--Not later than 18 months after the date of
enactment of this paragraph and not less frequently than once
every 5 years thereafter, the Commission shall--
``(A) review the list of certifications,
designations, and credentials accepted with respect to
meeting the requirements of the definition of
`accredited investor' under section 2(a)(15) of the
Securities Act of 1933 (15 U.S.C. 77b(a)(15)) and the
rules issued under such section 2(a)(15);
``(B) add such certifications, designations, and
credentials to the list described in subparagraph (A)
as the Commission determines are substantially similar
in measuring the financial sophistication, knowledge,
and experience in financial matters of an individual to
the certifications, designations, and credentials
included on that list at the time of that review; and
``(C) adjust or modify that list as the Commission
determines necessary or appropriate in the public
interest or for the protection of investors.''.
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