Increasing Investor Opportunities Act

Floor Speech

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Mr. FLOOD. Mr. Chair, I strongly support the INVEST Act, and I commend Congresswoman Ann Wagner and Congressman Greg Meeks for their hard work on this bipartisan project. This is how Congress is supposed to work.

The INVEST Act will expand access to capital for startups and small businesses, create new pathways for retail investors, and provide greater opportunity to more Americans. One bill in this package I will highlight is the Equal Opportunity for All Investors Act, a bill I lead with Congressman Cleo Fields, Congresswoman Sarah McBride, and Congressman Mike Lawler.

The Equal Opportunity for All Investors Act would expand the accredited investor definition to include individuals that are certified through an exam written by the SEC and administered by FINRA. Accredited investors are individuals that are allowed to participate in investment opportunities that are not generally available to the broader public, like private offerings.

Most current pathways to become an accredited investor are based upon wealth and income. This bill opens up a new pathway, allowing for investors' knowledge to be the determining factor in whether they are able to become an accredited investor.

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Mr. FLOOD. The examination created by this bill is meant to strike a balance between rigorously testing for sophistication and not being set to such a difficult standard that even an intelligent investor could not pass it.

Mr. Chair, I urge my colleagues to support the INVEST Act.

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