Lathrop GPM Partners Allie Itami, David Kim and Jane Trueper recently authored a Westlaw Today article analyzing the U.S. House’s passage of the bipartisan INVEST Act and its potential implications for private fund formation. The article explains that the legislation is designed to expand investor access to private markets and promote capital formation, which could drive increased private fund activity and investment in emerging companies if enacted.
It highlights several key provisions, including proposed updates to Regulation D that would allow broader communications about offerings, expanded eligibility for exempt reporting advisers, and significant changes to venture capital fund thresholds and investor limits. The article also discusses proposed modifications to the accredited investor definition, emphasizing how these reforms could lower barriers to entry, enhance fundraising flexibility and reshape the regulatory landscape for private fund sponsors.
Read the Westlaw Today piece here [SUBSCRIPTION REQUIRED]: House Passes Bi-Partisan Bill That May Present More Opportunities for Private Fund Formation
The original Lathrop GPM legal alert can be found here: House Passes Bi-Partisan Bill That May Present More Opportunities for Private Fund Formation