This legislation amends the Investment Company Act of 1940 to explicitly permit closed-end companies , including business development companies (BDCs) , to invest their assets in private funds . The primary goal is to remove regulatory barriers, ensuring these investment vehicles have greater flexibility in their portfolio allocations. The bill specifically restricts the Securities and Exchange Commission (SEC) from prohibiting or limiting such investments, or from imposing conditions on the offer, sale, or listing of securities issued by closed-end companies that invest in private funds. Similarly, national securities exchanges are prevented from restricting the listing or trading of these companies' securities, unless their rules align with the new statutory provisions. Crucially, the act clarifies that these changes do not diminish existing fiduciary duties owed to closed-end companies or by their investment advisers. It also preserves all current valuation, liquidity, and redemption requirements for closed-end companies under the Investment Company Act of 1940, maintaining important investor safeguards.