Bill · H.R. 9028· House(119-HR-9028)
PRC Broker-Dealers and Investment Advisers Moratorium Act
- Introduced
- 5/26/2026
- Last activity
- 5/26/2026 — Referred to the House Committee on Financial Services.
- Sponsored by
- Michael Lawler
- Cosponsors
- - 0 - 1
- Introduced
- In Committee
What this bill would do
This bill is called the ``PRC Broker-Dealers and Investment Advisers Moratorium Act''. It amends securities laws to stop certain brokers, dealers, and investment advisers with connections to the People's Republic of China from registering with the Securities and Exchange Commission. The text defines control as owning more than 15 percent of the voting securities of an entity. These prohibitions apply if the entity or person is organized under the laws of the People's Republic of China, is controlled by an entity or a national residing there, or relies on certain services provided by associated persons or affiliates from there. These registration bans are set to terminate five years after the date of enactment.
Yes· 3 of 4
Does this better protect the country from computer attacks?+6
By prohibiting registration of entities relying on Chinese infrastructure and software services, the bill safeguards financial systems against foreign vulnerabilities.
Does this give people more protection from unfair business practices?+5
The bill enhances consumer and market security by barring brokers, dealers, and investment advisers with ties to the People's Republic of China from SEC registration.
Does this give people more control over their personal data?+4
Restricting software and infrastructure services linked to the PRC helps protect sensitive data and platform security within US financial markets.
The opposite
Would business owners be better off under this?-3
Certain domestic business owners or entities relying on targeted Chinese software and service affiliations may face operational hurdles or registration denials.
Would immigrants be better off under this?-2
Nationals and entities residing in or organized under the laws of the People's Republic of China are directly restricted from registration.
Who it would affect, and how
Potential Positive Impacts for People
-
Section 2(a)(1) adds Section 15(p) to the Securities Exchange Act of 1934 to prohibit brokers and dealers with specific ownership or service connections to the People's Republic of China from registering with the Securities and Exchange Commission. This could be viewed as positive because it blocks entities organized under the laws of the People's Republic of China, controlled by entities or nationals residing there, or using specific platform, network, or software services from those origins from holding these registrations.
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Section 2(b)(1) adds Section 203(o) to the Investment Advisers Act of 1940 to prohibit investment advisers with specific ownership or service connections to the People's Republic of China from registering. This may be seen as beneficial because it prevents persons organized under the laws of the People's Republic of China, controlled by entities or nationals residing there, or using affiliates for software, product development, or customer service from that country from registering.
Potential Negative Impacts for People
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Section 2(a)(1) introduces a prohibition under Section 15(p) of the Securities Exchange Act of 1934 that stops brokers and dealers from registering if they are organized under the laws of the People's Republic of China, controlled by an entity or national residing there, or use associated persons from there for platform infrastructure, network services, or software development and support. This could be considered a burden or negative outcome for the specific businesses and individuals who are barred from registration under these criteria.
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Section 2(b)(1) introduces a prohibition under Section 203(o) of the Investment Advisers Act of 1940 that stops persons from registering as investment advisers if they are organized under the laws of the People's Republic of China, controlled by an entity or national residing there, or use affiliates from there for software development or support, product development, or customer service. This might be viewed negatively by the specific persons and entities that are denied registration due to these ownership and service links.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- National Security And Foreign Policy
- Improves Cybersecurity Defense+6
- Demographic And Interest Groups
- Good For Business Owners-3Good For Immigrants-2
- Economy And Finance
- Improves Consumer Protection+5
- Education And Technology
- Improves Data Privacy+4
- Governance And Ideology
- Increases Federal Power+3
- 5/26/2026
- Referred to the House Committee on Financial Services.
- 1 Cosponsor added.
- Introduced in House
Josh GottheimerDemocrat · New Jersey