with 6(c) notably giving the SEC broad discretion to "conditionally or unconditionally exempt any person ... from any provision". One of the original drafters, David Schenker (who became the head of the Investment Company Division at the SEC), explained the provision in 1940 by pointing to the complexities of the industry. This was notably used to exempt venture capital firms in the 1970s, which preceded changes to the statute, ultimately including a section 3(c)(7) which exempts issuers of non-public securities to qualified purchasers. Section 3(c)(11) generally exempts collective trust funds. Section 7 prohibits investment companies from doing business until registration, including public offerings; in 2018, the SEC acted against a cryptocurrency hedge fund for allegedly violating section 7. Section 7(d) is notable in that it restricts foreign investment firms from offering securities, and by 1992 no foreign firms had registered since 1973. Section 9 outlines disqualification provisions which restrict people who have committed misconduct from practice in the industry; in practice, the SEC has historically granted waivers to allow such persons to remain involved. Various provisions restrict the powers of investment companies in corporate governance over management particularly in transactions with affiliates, including section 10. These laws were passed as a reaction to self-dealing excesses in the 1920s and 1930s, where funds would, for example, dump worthless stocks into certain funds, saddling investors with their losses. Filings To register, a firm initially files a notification with Form N-8A, followed by a form which depends on the type of fund. Among others, firms with open-end funds must file Form 24F-2. See also Jones v. Harris Associates Alternative Investment Fund Managers Directive Securities regulation in the United States Commodity Futures Trading Commission Securities commission Chicago Stock Exchange Financial regulation List of financial regulatory authorities by country NASDAQ New York Stock Exchange Stock exchange Regulation D (SEC) Related legislation 1933 - Securities Act of 1933 1934 – Securities Exchange Act of 1934 1938 – Temporary National Economic Committee (establishment) 1939 - Trust Indenture Act of 1939 1940 - Investment Advisers Act of 1940 1968 – Williams Act (Securities Disclosure Act) 1975 – Securities Acts Amendments of 1975 1982 – Garn–St. Germain Depository Institutions Act 1999 – Gramm-Leach-Bliley Act 2000 – Commodity Futures Modernization Act of 2000 2002 – Sarbanes–Oxley Act 2006 - Credit Rating Agency Reform Act of 2006 2010 – Dodd–Frank Wall Street Reform and Consumer Protection Act References External links Full