The SEC final rule to implement exemptions provided under the Rural Business Investment Companies Advisers Relief Act of 2018 ("RBICs Advisers Relief Act") was published in the Federal Register. The effective date for the final rule is March 10, 2020.

As previously covered, the RBICs Advisers Relief Act amended the Investment Advisers Act of 1940 to provide an exemption from registration for advisers to RBICs. In accordance with the RBICs Advisers Relief Act, the SEC amended the definitions for:

  • "venture capital fund" under Investment Advisers Act Rule 203(l)-1 by providing that venture capital funds include RBICs for the purposes of the venture capital fund adviser exemption; and

  • "assets under management" under Investment Advisers Rule 203(m)-1(d)(1) by excluding regulatory assets under the management of a private fund that is an RBIC.