WASHINGTON, D.C.— The Chairman of the House Financial Services Committee, Patrick McHenry (NC-10), issued the following statement after the Securities and Exchange Commission (SEC) voted to approve a new rule regarding private fund management.
“Once again, Chair Gensler’s SEC is exceeding its statutory authority to impose onerous and costly mandates—this time on private funds,” said Chairman McHenry. “By applying a framework designed for retail funds used by everyday investors to private funds, this rule fails to acknowledge the differences between these markets. Instead of pursuing this one-size-fits-all approach, the SEC should be working to strengthen our public markets and create new opportunities for all investors to save and build wealth through our private markets—just like Republicans have done with our capital formation agenda. I urge the SEC to rescind this ill-advised rule, which is a thinly veiled attempt to dictate private fund management.”