ADVISERS OF RBICS.

SEC. 2. ADVISERS OF RBICS. Section 203 of the Investment Advisers Act of 1940 (15 U.S.C. 80b-3(b)) is amended— (1) in subsection (b)— (A) in paragraph (6)(B)— (i) by adjusting the margins accordingly; and (ii) by striking the period at the end and inserting a semicolon; (B) in paragraph (7)(C), by striking the period at the end and inserting “; or”; and (C) by adding at the end the following: “(8) any investment adviser, other than an entity that has elected to be regulated or is regulated as a business development company pursuant to section 54 of the Investment Company Act of 1940 (15 U.S.C. 80a-53), who solely advises— “(A) rural business investment companies (as defined in section 384A of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc)); or “(B) companies that have submitted to the Secretary of Agriculture an application in accordance with section 384D(b) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc-3(b)) that— “(i) have received from the Secretary of Agriculture a letter of conditions, which has not been revoked; or “(ii) are affiliated with 1 or more rural business investment companies described in subparagraph (A).” ; (2) in subsection (l), by adding at the end the following: “(3) Advisers of rbics.—For purposes of this subsection, a venture capital fund includes an entity described in subparagraph (A) or (B) of subsection (b)(8) (other than an entity that has elected to be regulated as a business development company pursuant to section 54 of the Investment Company Act of 1940 (15 U.S.C. 80a-53)).” ; and (3) in subsection (m), by adding at the end the following: “(4) Advisers of rbics.—For purposes of this subsection, the assets under management of a private fund that is an entity described in subparagraph (A) or (B) of subsection (b)(8) (other than an entity that has elected to be regulated or is regulated as a business development company pursuant to section 54 of the Investment Company Act of 1940 (15 U.S.C. 80a-53)) shall be excluded from the limit set forth in paragraph (1).” .