An era of unprecedented transparency in private equity may soon dawn, now that the U.S. Securities and Exchange Commission has lifted the ban that prohibited private funds from general solicitation and advertising.

New rules, required by the Jumpstart Our Business Startups (JOBS) Act, allow hedge funds, venture capital and PE funds to promote their offerings to the public via media, including the Internet, print and broadcast outlets. Under the amendments to Rule 506 of Regulation D and Rule 144A, which go into effect Sept. 23, issuers will be permitted to use general solicitation to offer unregistered securities, as long as all sales of the security are made to “accredited investors” or to “qualified institutional buyers.”

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