N.J. Admin. Code § 17:16-90.1
The following words and terms, as used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise:
"Co-investment" means two parties (usually the limited partner and the general partner of a fund) invest alongside each other in the same company. If an investor in a fund has co-investment rights, it can invest directly in a company that is also backed by the fund. The investor therefore ends up with two separate stakes in the company - one indirectly through the fund; one directly in the company. Co-investment may also include multiple like-minded institutional investors investing in a specific company or portfolio.
"Commingled fund" means all open-end and closed-end pooled investment vehicles. A commingled fund may be organized as a group trust, partnership, limited liability company, corporation, insurance company separate account, or other multiple ownership entity. An investment in a commingled fund may take the form of an investment in the fund or in the trustee, general partner, or other managing member of such fund.
"Common stock" means shares of stock, other than preferred stock, representing ownership in a corporation or other form of legal entity.
"Convertible debt issue" means a debt obligation of any corporation or other form of legal entity that is convertible into the common stock of the entity.
"Convertible preferred stock" means preferred stock of any corporation or other form of legal entity that is convertible into the common stock of the entity.
"Debt related investment" means the purchase of investments in debt instruments which may include equity participation.
"Direct investment" means the purchase of an interest in a company or venture directly by an eligible fund, rather than through an investment vehicle.
"Exchange-traded funds" means funds that invest in underlying securities that track a predetermined index or strategy, a commodity, or a basket of assets, and whose shares can be traded like shares of common stock.
"Funds-of-funds" means funds set up to distribute investments among a selection of fund managers, who in turn invest the capital directly.
"Joint venture" means a contractual agreement joining two or more parties for the purpose of executing a particular undertaking. All parties agree to share in the profits and losses of the enterprise. Joint ventures are usually private.
"Preferred stock" means shares of stock which provide a dividend that is paid before any dividends are paid to holders of common stock and additional rights above and beyond those conferred by common stock.
"Private equity" means investments generally made through limited partnerships or other limited liability vehicles that in turn generally invest in the equity or debt of companies or business units, or investments in the debt or equity of a trustee, general partner, or managing member of a fund.
"Private placement" means a negotiated sale in which the securities are sold directly to institutional or private investors, rather than through a public offering registered with the U.S. Securities and Exchange Commission or applicable foreign regulatory body. Private placement includes the sale of securities pursuant to Section 4(2), Regulation D, Regulation S, or Rule 144A under the Securities Act of 1933, as amended.
"Separate account" means an investment vehicle with a single investor that is unaffiliated with its sponsor or manager.
N.J. Admin. Code § 17:16-90.1
See: 40 N.J.R. 2097(a), 40 N.J.R. 4827(a).
Substituted definition "Buyout investment" for definition "Buy-out fund"; in definition "Buyout investment", deleted "a fund that invests in" following "means"; in definition "Co-investment", inserted the last sentence; added definitions "Commingled fund", "Common stocks", "Debt related investment", "Exchange-traded funds" and "Preferred stocks"; in definition "Direct investment", substituted "directly by an eligible fund, rather than through an investment vehicle" for "that has enough influence to direct the course of the investment" and deleted the last sentence; deleted definition "Limited partnership"; rewrote definition "Private equity"; substituted definition "Venture capital investment" for definition "Venture capital fund"; and in definition "Venture capital investment", substituted "investment" for "a fund that invests".
Amended by R.2014 d.038, effective 3/3/2014.
See: 45 N.J.R. 1477(a), 46 N.J.R. 442(a).
In definition "Buyout investment", substituted "acquisition" for "transaction"; rewrote definitions "Co-investment", "Commingled fund", "Exchange-traded funds", "Private equity", and "Separate account"; substituted definitions "Common stock" and "Preferred stock" for definitions "Common stocks" and "Preferred stocks", in definition "Common stock", substituted "stock" for "stocks", and inserted "or other form of legal entity"; in definition "Preferred stock", deleted "specific" preceding "dividend"; and added definitions "Convertible debt issue", "Convertible preferred stock", and "Private placement".