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SEC Approves New Expanded Definition of Accredited Investor

The Securities and Exchange Commission accredited investors under Rule 506 according to the concept release its final rule Series 7 a Series 65 Series 82 Rule 2a51-1(b) under the Investment Company Act

“Today’s amendments are the product of years of effort by the Commission and its staff to consider and analyze approaches to revising the accredited investor definition,” said Chairman Jay Clayton. “For the first time, individuals will be permitted to participate in our private capital markets not only based on their income or net worth, but also based on established, clear measures of financial sophistication. I am also pleased that we have expanded and updated the list of entities, including tribal governments and other organizations, that may qualify to participate in certain private offerings.”