January 30, 2007
I am in complete opposition to the SEC's proposed raising of minimum net-worth requirements for U.S. citizens to invest in private funds. It's bad enough the government soaks up some 40% of my income without hamstringing my ability to increase my net worth through the investment vehicles of my choice.
If anything, the SEC should be searching for ways to open up alternative investments to the general public as is the trend in Europe. In this regard, I find that some of the proposals of Commissioner Roel Campos have merit.
Even though I qualify under current requirements, I have not yet invested in hedge funds as I have not determined how they fit into my overall portfolio. Nonetheless, I suspect I will want to employ them at some point and do not want their availability whisked away by bureaucratic fiat or big-brother paternalism.