From: Ajay Gajjar, CPA, CMA, CIA, CFM
I am opposed to the proposal to change the definition of an “accredited investor” from a person with a net worth of greater than $1.0 million to a person with investment assets of greater than $2.5 million.
I feel that the current threshold of $1.0 million should be kept for the following reasons:
The proposed change would unfairly limit knowledgeable sophisticated investors from participating in certain investments.
The concept that net worth or investment assets indicates sophistication is flawed. A person with investment asset of $2.4 million could be more knowledgeable than an investor with investment assets of $2.6 million.
With the financial information and research tools now available on the Internet, even people with low levels of investment assets have access to information that only the very rich had in 1982.
With the financial information and research tools now available on the Internet, there is less need for the SEC to restrict access to certain types of investments.
America is a land of opportunity. The SEC should allow more people to have a chance to participate in investments that can add to American prosperity.
Thank you for the opportunity to respond to the proposed rule.
Ajay Gajjar, CPA, CMA, CIA, CFM