To amend the Investment Company Act of 1940 to change the asset coverage ratio and treatment of preferred stock for business development companies, to allow business development companies to purchase, otherwise acquire, or hold certain securities, and to direct the Securities and Exchange Commission to revise rules under the Securities Act of 1933 relating to business development companies.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Next Steps for Credit Availability Act''.
SEC. 2. AMENDMENTS TO PERMIT BUSINESS DEVELOPMENT COMPANIES TO OWN INVESTMENT ADVISERS.
Section 60 of the Investment Company Act of 1940 (15 U.S.C. 80a-59) is amended by striking ``except that the Commission shall not'' and inserting the following: ``except that-- ``(1) section 12 shall not apply to the purchasing, otherwise acquiring, or holding by a business development company of any security issued by, or any other interest in the business of, any person who is an investment adviser registered under title II of this Act or who is an investment adviser to an investment company; and ``(2) the Commission shall not''.
SEC. 3. AMENDMENTS TO EXPAND ACCESS TO CAPITAL FOR BUSINESS DEVELOPMENT COMPANIES.
Section 61(a) of the Investment Company Act of 1940 (15 U.S.C. 80a- 60(a)) is amended-- (1) in paragraph (1), by striking ``200'' and inserting ``150''; (2) in paragraph (2), by inserting ``or which is a stock'' after ``indebtedness''; and (3) by inserting after...