---
kind: "section"
citation: "15 U.S.C. § 80a–4"
title: "15"
title_heading: "Commerce and Trade"
number: "80a–4"
heading: "Classification of investment companies"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/80a-4"
units:
  - "Chapter 2D — Investment Companies and Advisers"
  - "Subchapter I — Investment Companies"
---

# §80a–4. Classification of investment companies


For the purposes of this subchapter, investment [companies](/usc/15/80a–2.md?p=a-8) are divided into three principal classes, defined as follows:

- (1) “[Face-amount certificate](/usc/15/80a–2.md?p=a-15) [company](/usc/15/80a–2.md?p=a-8)” means an investment [company](/usc/15/80a–2.md?p=a-8) which is engaged or proposes to engage in the business of issuing [face-amount certificates](/usc/15/80a–2.md?p=a-15) of the installment type, or which has been engaged in such business and has any such certificate outstanding.
- (2) “Unit investment trust” means an investment [company](/usc/15/80a–2.md?p=a-8) which (A) is organized under a trust indenture, contract of custodianship or agency, or similar instrument, (B) does not have a board of [directors](/usc/15/80a–2.md?p=a-12), and (C) issues only [redeemable securities](/usc/15/80a–2.md?p=a-32), each of which represents an undivided interest in a unit of specified [securities](/usc/15/80a–2.md?p=a-36); but does not include a voting trust.
- (3) “Management [company](/usc/15/80a–2.md?p=a-8)” means any investment [company](/usc/15/80a–2.md?p=a-8) other than a [face-amount certificate](/usc/15/80a–2.md?p=a-15) [company](/usc/15/80a–2.md?p=a-8) or a unit investment trust.

## Source credit

(Aug. 22, 1940, ch. 686, title I, § 4, 54 Stat. 799.)

## Notes

### Executive Documents

### Transfer of Functions

For transfer of functions of Securities and Exchange Commission, with certain exceptions, to Chairman of such Commission, see Reorg. Plan No. 10 of 1950, §§ 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1265, set out under section 78d of this title.