From: Bradly E. Potter CPA CFP®
Too Whom It May Concern:
The net worth requirement for private equity offerings is already too high at $1 million. The proposed increase would serve to further limit the choices of the investing public. Another option would be a two part test. If you have the $1 million, then you can invest, if not, then you have suitability test to determined by your investment advisor. Much the same as the current brokerage industry – is the investment suitable for the needs and situation of the client.
John Mauldin (www.frontlinethoughts.com) has some good ideas on the matter. I would suggest you read his January 26th article, A New Definition of Rich.
Bradly E. Potter CPA CFP®
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