Section 407 of the Dodd-Frank Wall Street Reform and Consumer Protection Act requires the Securities and Exchange Commission to issue rules defining “venture capital fund”. As discussed in this earlier post, the definition is needed to implement the Dodd-Frank Act’s new Investment Advisers Act exemption for investment advisers solely to one or more venture capital funds. Doug Cornelius at Compliance Building writes that the SEC is planning to consider the question at Friday’s meeting. Here is the SEC’s agenda for the meeting.
California is ground zero for the venture capital industry and practitioners here should take a keen interest in what the SEC proposes.