I
118THCONGRESS
1
STSESSION H. R. 2773
To amend the definition of an accredited investor to include individuals
receiving advice from certain professionals, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
APRIL20, 2023
Mr. M
CHENRYintroduced the following bill; which was referred to the
Committee on Financial Services
A BILL
To amend the definition of an accredited investor to include
individuals receiving advice from certain professionals,
and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. ACCREDITED INVESTORS INCLUDE INDIVID-3
UALS RECEIVING ADVICE FROM CERTAIN 4
PROFESSIONALS. 5
(a) S
ECURITIESACT OF1933.—Section 2(a)(15) of 6
the Securities Act of 1933 (15 U.S.C. 77b(a)(15)) is 7
amended— 8
(1) by striking ‘‘(15) The term ‘accredited in-9
vestor’ shall mean—’’ and inserting the following: 10
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•HR 2773 IH
‘‘(15) ACCREDITED INVESTOR.— 1
‘‘(A) I
N GENERAL.—The term ‘accredited 2
investor’ means—’’; 3
(2) in clause (i), by striking ‘‘or’’ at the end; 4
(3) in clause (ii), by striking the period at the 5
end and inserting ‘‘; or’’; 6
(4) by adjusting the indentation of clauses (i) 7
and (ii) by moving such clauses 2 ems to the right; 8
and 9
(5) by adding at the end the following: 10
‘‘(iii) any individual receiving individ-11
ualized investment advice or individualized 12
investment recommendations with respect 13
to the applicable transaction from an indi-14
vidual described under section 15
203.501(a)(10) of title 17, Code of Federal 16
Regulations. 17
‘‘(B) D
EFINITIONS.—In subparagraph 18
(A)(iii): 19
‘‘(i) I
NVESTMENT ADVICE .—The term 20
‘investment advice’ shall be interpreted 21
consistently with the interpretation of the 22
phrase ‘engages in the business of advising 23
others, either directly or through publica-24
tions or writings, as to the value of securi-25
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•HR 2773 IH
ties or as to the advisability of investing in, 1
purchasing, or selling securities’ under sec-2
tion 202(a)(11) of the Investment Advisers 3
Act of 1940 (15 U.S.C. 80b–2(a)(11)). 4
‘‘(ii) I
NVESTMENT RECOMMENDA -5
TION.—The term ‘investment recommenda-6
tion’ shall be interpreted consistently with 7
the interpretation of the term ‘rec-8
ommendation’ under section 240.15l–1 of 9
title 17, Code of Federal Regulations.’’. 10
(b) C
ONFORMINGCHANGES TOREGULATIONS.—The 11
Securities and Exchange Commission shall revise section 12
203.501(a) of title 17, Code of Federal Regulations, and 13
any other definition of ‘‘accredited investor’’ in a rule of 14
the Commission in the same manner as such definition 15
is revised under subsection (a). 16
Æ
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