SEC issues crowd-funding rules for non-accredited investors

The SEC issued (see BioCentury, July 22).

Under SEC's proposed rules for non-accredited investors, online crowd-funding transactions would have to be conducted through a registered broker or a funding portal. For individuals with an annual income or net worth less than $100,000, individual investments in a 12-month period would be limited to the greater of $2,000 or 5% of annual income or net worth. For individuals with annual income or net worth over $100,000, individual investments would be limited to 10% of annual income or net worth, with a cap of $100,000 in a 12-month period. Comments on the proposed rules are due 90 days after publication in the Federal Register. SEC said it does not know when the rules will be published. ...