SEC raises 'small' adviser threshold to $1 billion, 1.344 trillion won

The SEC has raised its "small entity" thresholds under the Regulatory Flexibility Act, lifting the investment adviser cutoff to $1 billion in regulatory assets under management from $25 million, and the fund net asset threshold for registered investment companies and business development companies to $10 billion from $50 million. The change determines which advisers and funds the agency must analyze for economic impact when drafting future rules. It does not by itself alter any individual firm's regulatory obligations or investor protections. The shift matters because far more advisers and funds will now fall under the small-entity umbrella, expanding the scope of impact analysis in upcoming SEC rulemaking.