Capital Formation Legislative Package (Joint Trades)

Summary

SIFMA, SIFMA AMG, American Securities Association (ASA), Financial Services Institute (FSI), Investment Adviser Association (IAA), Investment Company Institute (ICI), Managed Funds Association (MFA), and the U.S. Chamber of Commerce provided comments commending the Committee’s continued dedication to advancing meaningful capital formation legislation and encourage the Committee to introduce a capital formation legislative package as soon as possible this year that includes the provisions highlighted in the letter.

Excerpt

The undersigned organizations write to commend the Committee’s continued dedication to advancing meaningful capital formation legislation. The Committee’s attention to this effort is critical and timely, and we appreciate the groundwork being laid to introduce a legislative package this year. Modernizing U.S. securities laws through targeted reforms will expand access to capital, reduce burdens on market participants, and promote continued innovation in our capital markets, all while empowering and protecting investors.

There is a long history of bipartisan interest across Congress in advancing capital formation policies, most recently demonstrated by the House passage of the Incentivizing New Ventures and Economic Strength Through Capital Formation (INVEST) Act in December of 2025. This marked significant progress in Congress’ efforts to broaden participation in capital markets, while ensuring the highest levels of investor protection.

We encourage the Committee to carry forward this momentum and advance a robust Senate capital formation package this year. The strongest Senate package will include a range of provisions aimed at improving U.S. capital markets. The undersigned organizations have long supported various Congressional proposals to advance capital formation, which have included:

• E-Delivery- The Improving Disclosure for Investors Act requires an SEC rulemaking to allow electronic delivery of investor documents, with safeguards, opt-out rights, and transition rules.
• Creating parity for 403(b) plans- The Retirement Fairness for Charities and Educational Institutions Act of 2025 amends securities laws to expand investment options for 403(b) retirement plans.
• Closed-end funds- The Increasing Investor Opportunities Act expands closed-end investment companies’ ability to invest in private funds and adds protections from abuses by predatory activist investors.