Subject: File No. S7-25-06
From: Hans Jorg Stahlschmidt, PhD

January 26, 2007

Comment to the new proposed rules:

It does not make sense to raise the minimum asset for investors in hedge funds and thereby eliminating more middle class Americans from potential opportunities. Our society is already stacked unfairly in favor of the rich and wealthy.

The criteria of net worth is also not a valid measurement of sophistication. Are you saying that the people with lower income are less intelligent? If you are poor you are stupid? Only rich people have the ability for sophistication?

Instead of supposedly protecting ordinary Americans from unwise and risky investment better install rules that will allow a broader spectrum of the population participate in wealth building. This is the traditional American way of inclusion not the recent way of exclusion and feudal privilege.


Hans Stahlschmidt PhD