Rules for venture capital funds would change, affecting how they invest and qualify.
This bill would require the Securities and Exchange Commission (SEC) to update its rules for venture capital funds. It would broaden what these funds can count as 'qualifying investments.' This includes certain stock purchases and investments in other venture capital funds. However, it would also set a new limit. Funds would need to hold no more than 49 percent of their capital in these specific types of investments. This is required to keep their special regulatory status.
Today, the rules for venture capital funds don't clearly define certain types of investments as 'qualifying investments.' This includes buying company stock from an existing owner or investing in another venture capital fund. There's also no specific limit on how much of their capital these funds can put into such investments while maintaining their special status. If this bill passes, the SEC would update these rules within 180 days. It would explicitly include these investment types. It would also add a new 49 percent cap on how much a fund can hold in these specific areas. This cap is a condition to qualify as a venture capital fund.
HR 4429 · 119th Congress · July 16, 2025 · AI Summary by gemini-2.5-flash · 9/10
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5 filings mentioned this bill
Amounts reflect total quarterly lobbying spend reported to the Senate, not bill-specific spending. Source: Senate LDA filings.