I. Introduction

Several proposals were introduced in 2009 and 2010 that seek to regulate exempt investment advisers and private investment companies more closely. On March 15, 2010, Senator Christopher Dodd (D-CT) introduced a proposed omnibus financial regulation package entitled ‘‘The Restoring American Financial Stability Act of 2010’’ as amended by certain amendments thereto (‘‘Senate Bill’’), which contains several portions that are relevant to private equity. The Senate Bill is similar in several respects to the proposed ‘‘The Wall Street Reform and Consumer Protection Act of 2009’’ introduced by Representative Barney Frank (DMA) and passed by the House of Representatives on December 11, 2009 (‘‘House Bill’’). The Senate Bill was recently passed by the Senate on May 20, 2010.

This article primarily discusses the provisions of the House Bill and the Senate Bill that are relevant to advisers’ registration and related matters. This article also discusses the proposed provisions of the Senate Bill that would impact the relationship between banks and private equity funds.