On the recordDecember 4, 2013
We exempted venture capital funds from the Advisers Act of 1940 registration. The same set of investors, same types of investing. Actually, a more risky asset class than private equity. We exempted them for no other reason than that we like venture capital better than we like private equity. That is fine. But in statute and in regulation, we should be consistent. So I think that you can argue that venture capitalists should be subject to the same kind of registration requirements that private equity is or you can argue, as I do, that probably both types of funds don't need to be registered under the Advisers Act of 1940, but you can't support Dodd-Frank and say venture capitalists are exempt and private equity is not and be consistent in policy. So I urge my colleagues, in the interest of balancing a very good piece of legislation, to support H.R. 1105.
