Accredited Investor
There are several ways to get accredited in the U.S.
- If you are a director, executive officer, or general partner of the company selling the securities, or any director, executive officer, or general partner of a general partner of that company.
- If you are an individual with a net worth or joint net worth with a spouse or spousal equivalent of at least $1 million, not including the value of his or her primary residence. - If you are an individual with income exceeding $200,000 in each of the two most recent calendar years or joint income with a spouse or spousal equivalent exceeding $300,000 for those years and a reasonable expectation of the same income level in the current year.
- If you are a knowledgeable employee, as defined in rule 3c-5(a)(4) under the Investment Company Act, of the issuer of securities where that issuer is a 3(c)(1) or 3(c)(7) private fund. Rule 3c-5(a)(4) defines the first category of a knowledgeable employee of a Covered Fund as any natural person who is an “Executive Officer, director, trustee, general partner, advisory board member, or person serving in a similar capacity” of a Covered Fund or an Affiliated Management Person of a Covered Fund. This also includes employees who participate in the investment activities of the private fund or other private funds or investment companies managed by the affiliated management person.
- If you are an individual holding in good standing any of the general securities representative license (Series 7), the investment adviser representative license (Series 65), or the private securities offerings representative license (Series 82). However, in order to be considered in good standing you must, per FINRA rules:
- Pass the Securities Industry Essentials (SIE) and be associated with and sponsored by a FINRA member firm or other applicable self-regulatory organization (SRO) member firm to be eligible to take FINRA representative-level qualification exams such as the Series 7 and Series 82.
- Be licensed as an investment adviser representative in your state and would need to comply with all state-specific licensing requirements (e.g., paying annual fees, etc.) if seeking accredited investor status by passing the Series 65 exam.