On June 22, 2011, the SEC adopted new rules to implement Title IV of the Dodd- Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”), which, among other things, created a new exemption from the registration requirements of the Investment Advisers Act of 1940, as amended (the “Advisers Act”), for investment advisers to venture capital funds. The new rules define the term “venture capital fund,” set forth new reporting requirements for venture capital fund advisers and extend the compliance deadline to March 30, 2012. The new rules can be found in SEC Release No. IA-3221 and SEC Release No. IA-3222 (the “Releases”).

The Dodd-Frank Act exempts investment advisers that advise solely venture capital funds from the registration requirements of the Advisers Act. New rule 203(l)-1 provides a definition of “venture capital fund” that is broader than originally proposed by the SEC. The rule generally defines a venture capital fund as a private fund that...