US Codex
Bill
Notes

H.R. 2441 — what changed

Improving Disclosure for Investors Act of 2025

From Introduced in House to Reported in House. 1 section amended between Introduced in House and Reported in House.

Sec. 2 Electronic delivery

(a)
changed Promulgation of rules— Not later than 180 days after the date of the enactment of this section, the Securities and Exchange Commission shall propose and, not later than 1 year after the date of the enactment of this section, the Commission shall finalize, finalize rules, regulations, amendments, or interpretations, as appropriate, to allow a covered entity to satisfy the entity’s obligation to deliver regulatory documents required under the securities laws to investors using electronic delivery.
(b)
Required provisions— Rules, regulations, amendments, or interpretations the Commission promulgates pursuant to subsection (a) shall:
(1)
With respect to investors that do not receive all regulatory documents by electronic delivery, provide for—
(A)
delivery of an initial communication in paper form regarding electronic delivery;
(B)
a transition period not to exceed 180 days until such regulatory documents are delivered to such investors by electronic delivery; and
(C)
during a period not to exceed 2 years following the transition period set forth in subparagraph (B), delivery of an annual notice in paper form solely reminding such investors of the ability to opt out of electronic delivery at any time and receive paper versions of regulatory documents.
(2)
Set forth requirements for the content of the initial communication described in paragraph (1)(A).
(3)
changed Set forth requirements for the timing of delivery of a notice of website availability of regulatory documents and the content of the appropriate notice described in subsection (f)(3)(B).(g)(3)(B).
(4)
Provide a mechanism for investors to opt out of electronic delivery at any time and receive paper versions of regulatory documents.
(5)
Require measures reasonably designed to identify and remediate failed electronic deliveries of regulatory documents.
(6)
Set forth minimum requirements regarding readability and retainability for regulatory documents that are delivered electronically.
(7)
For covered entities other than brokers, dealers, investment advisers registered with the Commission, and investment companies, require measures reasonably designed to ensure the confidentiality of personal information in regulatory documents that are delivered to investors electronically.
(c)
added Exemption from certain requirements— Section 101(c) of the Electronic Signatures in Global and National Commerce Act (15 U.S.C. 7001(c)) shall not apply with respect to a regulatory document delivered in accordance with this section.
(d)
renumbered was (4) Rule of construction— Nothing in this section shall be construed as altering the substance or timing of any regulatory document obligation under the securities laws or regulations of a self-regulatory organization.
(e)
renumbered was (5) Treatment of revisions not completed in a timely manner— If the Commission fails to finalize the rules, regulations, amendments, or interpretations required under subsection (a) before the date specified in such subsection—
(1)
renumbered was (5)(3) a covered entity may deliver regulatory documents using electronic delivery in accordance with subsections (b) and (c); and
(2)
renumbered was (5)(4) such electronic delivery shall be deemed to satisfy the obligation of the covered entity to deliver regulatory documents required under the securities laws.
(f)
added Other required actions—
(e)
removed Other required actions—
(1)
renumbered was (6)(2) Review of rules— The Commission shall—
(A)
renumbered was (6)(2)(3) within 180 days of the date of enactment of this Act, conduct a review of the rules and regulations of the Commission to determine whether any such rules or regulations require delivery of written documents to investors; and
(B)
renumbered was (6)(2)(4) within 1 year of the date of enactment of this Act, promulgate amendments to such rules or regulations to provide that any requirement to deliver a regulatory document “in writing” may be satisfied by electronic delivery.
(2)
renumbered was (6)(3) Actions by self-regulatory organizations— Each self-regulatory organization shall adopt rules and regulations, or amend the rules and regulations of the self-regulatory organization, consistent with this Act and consistent with rules, regulations, amendments, or interpretations finalized by the Commission pursuant to subsection (a).
(3)
added Rule of application— This subsection shall not apply to a rule or regulation issued pursuant to a Federal statute if that Federal statute specifically requires delivery of paper documents to investors.
(3)
removed Rule of application— This subsection shall not apply to a rule or regulation issued pursuant to a Federal statute if that Federal statute specifically requires delivery of written documents to investors.
(g)
renumbered was (7) Definitions— In this section:
(1)
renumbered was (7)(3) Commission— The term Commission means the Securities and Exchange Commission.
(2)
renumbered was (7)(4) Covered entity— The term covered entity means—
(A)
renumbered was (7)(4)(3) an investment company (as defined in section 3(a)(1) of the Investment Company Act of 1940 (15 U.S.C. 80a–3(a)(1))) that is registered under such Act;
(B)
renumbered was (7)(4)(4) a business development company (as defined in section 2(a) of the Investment Company Act of 1940 (15 U.S.C. 80a–2(a))) that has elected to be regulated as such under such Act;
(C)
renumbered was (7)(4)(5) a registered broker or dealer (as such terms are defined, respectively, in paragraphs (4) and (5) of section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)));
(D)
renumbered was (7)(4)(6) a registered municipal securities dealer (as defined in section 3(a)(30) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)(30)));
(E)
renumbered was (7)(4)(7) a registered government securities broker or government securities dealer (as such terms are defined, respectively, in paragraphs (43) and (44) of section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)));
(F)
renumbered was (7)(4)(8) a registered investment adviser (as defined in section 202(a)(11) of the Investment Advisers Act of 1940 (15 U.S.C. 80b-1(a)(11)));
(G)
renumbered was (7)(4)(9) a registered transfer agent (as defined in section 3(a)(25) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)(25))); or
(H)
renumbered was (7)(4)(10) a registered funding portal (as defined in the second paragraph (80) of section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a))).
(3)
renumbered was (7)(5) Electronic delivery— The term electronic delivery, with respect to regulatory documents, includes—
(A)
renumbered was (7)(5)(3) the direct delivery of such regulatory document to an electronic address of an investor;
(B)
added the posting of such regulatory document to a website, and direct delivery of an appropriate notice of the availability of the regulatory document to an electronic address of the investor; or
(C)
added any other electronic method reasonably designed to ensure receipt of such regulatory document by the investor.
(B)
removed the posting of such regulatory document to a website and direct electronic delivery of an appropriate notice of the availability of the regulatory document to the investor; and
(C)
removed an electronic method reasonably designed to ensure receipt of such regulatory document by the investor.
(4)
renumbered was (7)(6) Regulatory documents— The term regulatory documents includes—
(A)
renumbered was (7)(6)(3) prospectuses meeting the requirements of section 10(a) of the Securities Act of 1933 (15 U.S.C. 77j(a));
(B)
renumbered was (7)(6)(4) summary prospectuses meeting the requirements of—
(i)
renumbered was (7)(6)(4)(2) section 230.498 of title 17, Code of Federal Regulations; or
(ii)
renumbered was (7)(6)(4)(3) section 230.498A of title 17, Code of Federal Regulations;
(C)
renumbered was (7)(6)(5) statements of additional information, as described under section 270.30e–3(h)(2) of title 17, Code of Federal Regulations;
(D)
renumbered was (7)(6)(6) annual and semi-annual reports to investors meeting the requirements of section 30(e) of the Investment Company Act of 1940 (15 U.S.C. 80a–29(e));
(E)
renumbered was (7)(6)(7) notices meeting the requirements under section 270.19a–1 of title 17, Code of Federal Regulations;
(F)
renumbered was (7)(6)(8) confirmations and account statements meeting the requirements under section 240.10b of title 17, Code of Federal Regulations;
(G)
renumbered was (7)(6)(9) proxy statements meeting the requirements under section 240.14a–3 of title 17, Code of Federal Regulations;
(H)
renumbered was (7)(6)(10) privacy notices meeting the requirements of Regulation S–P under subpart A of part 248 of title 17, Code of Federal Regulations;
(I)
renumbered was (7)(6)(11) affiliate marketing notices meeting the requirements of Regulation S–AM under subpart B of part 248 of title 17, Code of Federal Regulations; and
(J)
renumbered was (7)(6)(12) all other regulatory documents required to be delivered by covered entities to investors under the securities laws and the rules and regulations of the Commission and the self-regulatory organizations.
(5)
renumbered was (7)(7) Securities laws— The term securities laws has the meaning given the term in section 3(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)).
(6)
renumbered was (7)(8) Self-regulatory organization— The term self-regulatory organization means—
(A)
renumbered was (7)(8)(3) a self-regulatory organization, as defined in section 3(a)(26) of the Securities Exchange Act of 1934 (15 U.S.C. 78c(a)(26)); and
(B)
renumbered was (7)(8)(4) the Municipal Securities Rulemaking Board.
(7)
added Website— The term website means an internet website or other digital, internet, or electronic-based information repository, including a mobile application.
(7)
removed Website— The term website means an internet website or other digital, internet, or electronic-based information repository, such as a mobile application, to which an investor of a covered entity has been provided reasonable access.