- For clarification on “knowledge employee,” Rule 3c-5(a)(4)
under the Investment Company Act defines a “knowledgeable employee” with
respect to a private fund as: (i) an executive officer, director, trustee,
general partner, advisory board member, or person serving in a similar
capacity, of the private fund or an affiliated management person (as defined in
Rule 3c-5(a)(1)) of the private fund; and (ii) an employee of the private fund
or an affiliated management person of the private fund (other than an employee
performing solely clerical, secretarial or administrative functions with regard
to such company or its investments) who, in connection with his or her regular
functions or duties, participates in the investment activities of such private
fund, other private funds, or investment companies the investment activities of
which are managed by such affiliated management person of the private fund,
provided that such employee has been performing such functions and duties for
or on behalf of the private fund or the affiliated management person of the
private fund, or substantially similar functions or duties for or on behalf of
another company for at least 12 months.
- For clarification of private funds, such as hedge funds,
venture capital funds, and private equity funds, are issuers that would be an
investment company, as defined in Section 3 of the Investment Company Act.