The US SEC plans to relax the threshold for private equity investment, allowing more retail investors to participate in the private equity market

The US Securities and Exchange Commission (SEC) has proposed a reform plan to expand the channels for individual investors to participate in the private equity market and allow registered investment advisors to charge a performance fee of up to 20% to attract private equity management agencies to serve individual investors. SEC Chairman Paul Atkins stated that the committee aims to explore ways to expand individual investors' participation in the private equity market while preventing fraud and misconduct. The SEC proposes to expand the scope of "qualified investors" recognition, allowing more individuals holding professional qualifications to qualify for investment.