[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3394 Referred in Senate (RFS)]

<DOC>
119th CONGRESS
  1st Session
                                H. R. 3394


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 24, 2025

Received; read twice and referred to the Committee on Banking, Housing, 
                           and Urban Affairs

_______________________________________________________________________

                                 AN ACT


 
To amend the Securities Act of 1933 to codify certain qualifications of 
  individuals as accredited investors for purposes of the securities 
                                 laws.

    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 ``Fair Investment Opportunities for 
Professional Experts Act''.

SEC. 2. DEFINITION OF ACCREDITED INVESTOR.

    (a) In General.--Section 2(a)(15) of the Securities Act of 1933 (15 
U.S.C. 77b(a)(15)) is amended--
            (1) by redesignating subparagraphs (i) and (ii) as 
        subparagraphs (A) and (F), respectively; and
            (2) in subparagraph (A) (as so redesignated), by striking 
        ``; or'' and inserting a semicolon, and inserting after such 
        subparagraph the following:
                    ``(B) with respect to a proposed sale of a 
                security, any natural person whose individual net 
                worth, or joint net worth with that person's spouse or 
                spousal equivalent, at the time of such sale, exceeds 
                $1,000,000 (which amount, along with the amounts set 
                forth in subparagraph (C), shall be adjusted for 
                inflation by the Commission every 5 years to the 
                nearest $10,000 to reflect the change in the Consumer 
                Price Index for All Urban Consumers published by the 
                Bureau of Labor Statistics) where, for purposes of 
                calculating net worth under this subparagraph--
                            ``(i) the person's primary residence shall 
                        not be included as an asset;
                            ``(ii) indebtedness that is secured by the 
                        person's primary residence, up to the estimated 
                        fair market value of the primary residence at 
                        the time of such sale, shall not be included as 
                        a liability (except that if the amount of such 
                        indebtedness outstanding at the time of such 
                        sale exceeds the amount outstanding 60 days 
                        before such time, other than as a result of the 
                        acquisition of the primary residence, the 
                        amount of such excess shall be included as a 
                        liability); and
                            ``(iii) indebtedness that is secured by the 
                        person's primary residence in excess of the 
                        estimated fair market value of the primary 
                        residence at the time of such sale shall be 
                        included as a liability;
                    ``(C) any natural person who had an individual 
                income in excess of $200,000 in each of the 2 most 
                recent years or joint income with that person's spouse 
                or spousal equivalent in excess of $300,000 in each of 
                those years and has a reasonable expectation of 
                reaching the same income level in the current year;
                    ``(D) any natural person who is--
                            ``(i) currently licensed or registered as a 
                        broker or investment adviser by the Commission, 
                        a self-regulatory organization (as defined in 
                        section 3(a) of the Securities Exchange Act of 
                        1934), or the securities division of a State, 
                        the District of Columbia, or a territory of the 
                        United States or the equivalent division 
                        responsible for licensing or registration of 
                        individuals in connection with securities 
                        activities; and
                            ``(ii) in good standing with respect to 
                        such licence or registration;
                    ``(E) any natural person the Commission determines, 
                by regulation, to have demonstrable education or job 
                experience to qualify such person as having 
                professional knowledge of a subject related to a 
                particular investment, and whose education or job 
                experience is verified by a self-regulatory 
                organization (as defined in section 3(a) of the 
                Securities Exchange Act of 1934); or''.
    (b) Rulemaking.--Not later than 180 days after the date of 
enactment of this Act, the Securities and Exchange Commission shall 
revise the definition of accredited investor under Regulation D (17 CFR 
230.500 et seq.) to conform with the amendments made by subsection (a).

            Passed the House of Representatives June 23, 2025.

            Attest:

                                             KEVIN F. MCCUMBER,

                                                                 Clerk.