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Net Worth Standard for Accredited Investors

SEC · final-rule · Published 2011-12-29 · Effective 2012-02-27 · 76 FR 81793

Document

Document number
2011-33333
Federal Register citation
76 FR 81793
CFR reference
17 CFR 230
Type
Rule
Action
Final rule.
Category
final-rule
Agency
US Securities and Exchange Commission
Publication date
2011-12-29
Effective date
2012-02-27
Docket
Release Nos. 33-9287

Abstract

We are adopting amendments to the accredited investor standards in our rules under the Securities Act of 1933 to implement the requirements of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The Act requires the definitions of "accredited investor" in our Securities Act rules to exclude the value of a person's primary residence for purposes of determining whether the person qualifies as an "accredited investor" on the basis of having a net worth in excess of $1 million. This change to the net worth standard was effective upon enactment by operation of the Dodd-Frank Act, but it also requires us to revise our current Securities Act rules to conform to the new standard. We also are adopting technical amendments to Form D and a number of our rules to conform them to the requirements of the Act and to correct cross-references to former Section 4(6) of the Securities Act, which was renumbered Section 4(5) by Section 944 of the Dodd-Frank Act.

Source

Authoritative
Federal Register document
Machine
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