Bill · S. 2552· Senate(119-S-2552)
PRC Broker-Dealers and Investment Advisers Moratorium Act
- Introduced
- 7/30/2025
- Last activity
- 7/30/2025 — Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- Sponsored by
- David McCormick
- Cosponsors
- - 0 - 1
- Introduced
- In Committee
What this bill would do
This bill, titled the "PRC Broker-Dealers and Investment Advisers Moratorium Act," aims to amend existing securities laws. It seeks to prohibit brokers and dealers from being members of a national securities association if they have certain connections to the People's Republic of China. Additionally, it prohibits investment advisers from registering with the Securities and Exchange Commission based on similar connections. These prohibitions apply to entities controlled by Chinese organizations or nationals residing in China, as well as those with specific Chinese affiliates. The restrictions are set to expire five years after the Act is enacted.
Yes
Does this give people more protection from unfair business practices?+2
The bill increases regulatory oversight of financial entities with foreign connections to ensure compliance.
Does this make what the government does easier for the public to see?+2
The bill grants regulatory agencies expanded examination authority over foreign books and facilities.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
- Enhanced Oversight Authority: National securities associations and the Commission are granted authority to examine books and facilities in foreign countries to ensure compliance with these new rules (Section 2(a)(1)(3) and Section 2(b)(1)(3)).
Potential Negative Impacts for People
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Prohibition on Broker/Dealer Membership: Brokers or dealers may be barred from membership in a national securities association if they are controlled by an entity in or subject to the jurisdiction of the People's Republic of China (Section 2(a)(2)(A)).
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Prohibition on Membership via National Control: Membership may be denied if a broker or dealer is controlled by a national of the People's Republic of China who lives there (Section 2(a)(2)(B)).
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Restrictions Based on Essential Service Affiliates: A broker or dealer could be prohibited if it has an affiliate in the People's Republic of China that provides essential services like software development, product development, or customer service (Section 2(a)(2)(C)).
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Prohibition on Investment Adviser Registration: Investment advisers may be blocked from registering with the Securities and Exchange Commission if they are controlled by an entity organized under or subject to the jurisdiction of the People's Republic of China (Section 2(b)(1)(2)(A)).
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Restrictions on Investment Adviser National Control: Registration may be prohibited if the investment adviser is controlled by a national of the People's Republic of China residing in that country (Section 2(b)(1)(2)(B)).
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Restrictions on Investment Adviser Service Affiliates: Investment advisers may be prohibited from registering if they have an affiliate in the People's Republic of China providing essential services such as customer service or software development (Section 2(b)(1)(2)(C)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Economy And Finance
- Improves Consumer Protection+2
- Governance And Ideology
- Improves Government Transparency+2
- 7/30/2025
- Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
- 1 Cosponsor added.
- Introduced in Senate
John FettermanDemocrat · Pennsylvania