House Small Business Committee Chair Questions SEC on Private Fund Adviser Rulemaking
House Committee on Small Business Chair Roger Williams (R-TX), et. al. questioned whether the SEC considered the effects on small investment advisory practices, capital access and innovation when the agency proposed new Exchange and Private Fund Adviser rules.
In a letter to SEC Chair Gary Gensler, Chair Williams expressed concern that the SEC proposals expanding the definition of an "Exchange" and "Alternate Trading Systems" under the Exchange Act could impact various platforms that are "only tangentially related to finance and financial exchanges." They highlighted potential increased compliance costs, additional barriers to capital access and increased costs to be passed on to smaller investors.
Chair Willliams emphasized the need to correctly evaluate small businesses' interests, "which constitute 99.9 percent of all businesses in the U.S." The letter posed a series of questions with a deadline of August 10, 2023.
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