SEC “Concept Release” Explores Harmonizing Private Offering Exemptions

On June 18, 2019, the United States Securities and Exchange Commission (SEC) published a concept release inviting input to an initiative that could end with broad harmonization of the many rules that apply to private securities offerings in the United States. SEC Chairman Jay Clayton has called the existing framework an “elaborate patchwork,” and improving it appears to be a priority for him. The concept release contains no specific rule proposals but raises 138 different questions for consideration. Comments are requested before September 24, 2019. Commenters are likely to include individual investors; companies, investment funds, and other issuers; financial services firms; industry trade groups; academics; law firms; retirement savings groups; consumer organizations; and many others.