February 14, 2007
I am opposed to the proposed change in required net worth for investing in private partnerships. It is not clear what value for society is created by limiting access to attractive investment options solely to those with over $2.5MM. The answer can't be "to protect the little guy", because the little guy is often already invested through pension plans. If the real concern is lack of necessary investment knowledge, the SEC should require passage of an exam prior to investing in hedge funds, regardless of net worth. To reiterate, the SEC should be concerned with investigating and prosecuting fraudulent practices and not with limiting the investing options of the hoi polloi.