09.30.26

SEC Unveils New Retail Investor Proposals for Private Assets

by: Douglas Gillison; Suzanne McGee

The U.S. Securities and Exchange Commission (SEC) proposed rules to expand accredited-investor access to private assets, including private equity, private credit, real estate and venture capital. The proposals could allow professionals such as accountants, financial analysts, planners and research analysts to qualify without meeting current wealth or income thresholds. The SEC also proposed broader performance-fee arrangements and monthly redemptions for certain closed-end funds. Supporters say the changes would give investors more choices and broaden access to private markets, while critics warn that these investments can be difficult to value, illiquid, costly and riskier. Some advisors also expressed concern that performance-based compensation could encourage greater risk-taking. The proposals will undergo public notice and comment before any final SEC decision.

Read the full article on Reuters