Risk Disclosure and Investor Attestation Act

Bill: 118-hr-1574
Sponsor: full_name: Rep. Davidson, Warren [R-OH-8]
Introduced: 2023-03-14
Policy area: Finance and Financial Sector
Latest action: action_date: 2023-03-14
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2023-03-14
action_desc: Introduced in House
text: <p><strong>Accredited Investor Self-Certification Act </strong></p> <p>This bill expands who may be considered an accredited investor for purposes of participating in private offerings of securities. Certain unregistered securities may only be offered to accredited investors. </p> <p>Specifically, the bill allows an individual to qualify by certifying to the issuer of securities that the individual understands the risks of investment in private issuers. Currently, accredited investors must satisfy certain requirements indicating their reduced exposure to financial risk, including those related to income, net worth, or knowledge and experience. </p>

tv_txt: I 118th CONGRESS 1st Session H. R. 1574 IN THE HOUSE OF REPRESENTATIVES March 14, 2023 Mr. Davidson introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Securities Act of 1933 to permit an individual to invest in private issuers upon acknowledging the investment risks, and for other purposes.

1. Short title This Act may be cited as the Risk Disclosure and Investor Attestation Act . 2. Investor attestation (a) In general Section 2(a)(15) of the Securities Act of 1933 (77b(a)(15)) is amended— (1) by redesignating clause (i) as subparagraph (A); (2) in subparagraph (A), as so redesignated, by striking or at the end; (3) by redesignating clause (ii) as subparagraph (B); (4) in subparagraph (B), as so redesignated, by striking the period at the end and inserting ; and ; and (5) by adding at the end the following: (C) with respect to an issuer, any individual that has attested to the issuer that the individual understands the risks of investment in private issuers, using such form as the Commission shall establish, by rule, but which form may not be longer than 2 pages in length. . (b) Rulemaking Not later than the end of the 1-year period beginning on the date of enactment of this Act, the Securities and Exchange Commission shall issue rules to carry out the amendments made by subsection (a), including establishing the form required under such amendments.