The National Venture Capital Association Applauds Venture Capital Exemption Language in Draft of Private Fund Investment Advisers Registration Act
WASHINGTON, DC--(Marketwire - October 1, 2009) - The following statement is attributed to
Mark G. Heesen, president of the National Venture Capital Association:
"The National Venture Capital Association (NVCA) applauds the Private Fund
Investment Advisers Registration Act proposal announced today by
Representative Paul Kanjorski (D-PA), Chairman of the House Financial
Services Capital Markets Subcommittee. We are extremely appreciative of
the work done in drafting this legislation by the Subcommittee and Members
of the full Committee under the leadership of Chairman Barney Frank
(D-MA). This proposal recognizes that venture capital firms do not pose
systemic financial risk and that requiring them to register under the
Advisers Act would place an undue burden on the venture industry and the
entrepreneurial community. The venture capital industry supports a level
of transparency which gives policy makers ongoing comfort in assessing
risk. The NVCA is committed to working with Congress, the SEC and the
Administration on the most effective implementation of this proposal.
"We look forward to sharing specific thoughts with Members of the Committee
on Tuesday, October 6 when NVCA Chairman Terry McGuire is scheduled to
testify at the hearing, 'Capital Markets Regulatory Reform: Strengthening
Investor Protection, Enhancing Oversight of Private Pools of Capital, and
Creating a National Insurance Office.'"
The National Venture Capital Association (NVCA) represents more than 400
venture capital firms in the United States. NVCA's mission is to foster
greater understanding of the importance of venture capital to the U.S.
economy and support entrepreneurial activity and innovation. According to
a 2009 Global Insight study, venture-backed companies accounted for 12.1
million jobs and $2.9 trillion in revenue in the United States in 2006. The
NVCA represents the public policy interests of the venture capital
community, strives to maintain high professional standards, provides
reliable industry data, sponsors professional development, and facilitates
interaction among its members. For more information about the NVCA, please
visit www.nvca.org.
http://www.house.gov/apps/list/press/financialsvcs_dem/discussion_draft_of_the_private_fund_investment_advisors_registration_act.pdf