Anyone here in the accredited investor club?
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- Thread starter Warstud
- Start date
Zee09
$200 Site Donor 2023
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I just read the criteria.. I'm still spelling Tilapia wrong so they don't want me ... I could get in but I'm just a freelancer unlike Pabagale...
I think they got what they wanted. Long rates down?
I believe rates should NOT be cut….
I believe the market should set the rates.
the uk sales were best in europe though.
I meant being an accredited investor which is a small "club" to be in. There are certain investments you're required to be an accredited investor if you want to invest in. Non regulated securities like a private reit or a hedge fund.
Like this?
https://www.sec.gov/resources-small-businesses/capital-raising-building-blocks/accredited-investors
Short version:
Financial Criteria
- Net worth over $1 million, excluding primary residence (individually or with spouse or partner)
- Income over $200,000 (individually) or $300,000 (with spouse or partner) in each of the prior two years, and reasonably expects the same for the current year
So, here is the crux of the issue - if one could qualify on those terms above - would one choose to do so?
Being an accredited investor allows you to put your money in non-registered securities (including hedge funds, REITs, and start-ups) that offer unique potential rewards, along with unique, and great, risk.
I guess I could qualify, but yeah. No, thanks.
I did own a non-publicly traded REIT once. I looked at the other owners and realized they were there as a tax write off. I sold and got out before it zeroed.
I set my risk level and get appropriate SEC permissions through Fidelity
I did own a non-publicly traded REIT once. I looked at the other owners and realized they were there as a tax write off. I sold and got out before it zeroed.
I set my risk level and get appropriate SEC permissions through Fidelity
Last edited:
Owen Lucas
$100 Site Donor 2023
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Edison Motors was accepting accredited investors a while ago.
Bond traders look forward and foolish FED looking through a broken rear view mirror in a 1929 Ford
Well, the fed owns more bonds than anyone, and SS owns a bunch, and so do a bunch of central banks. So not sure how the market would even set the rate if we wanted to. I guess philosophically I agree but there hasn't been a real bond market in a long time.
A bunch of big money pools poured into this stuff during the start of the pandemic for a higher return, until they realized none of this was marked to market - so all the gains were fiction. The asset is worth what it can be sold for, and nothing else.
So now there pouring out.
So new "accredited investors" are needed to fill the hole.
https://www.bloomberg.com/news/arti...s-lead-a-rush-for-the-exits-of-private-equity
It is interesting though when you consider company bonds and other debt, the market does set rates - well other than the FF rate!
I disagree. Corporates are benchmarked to the 10 year - the so called risk free rate. The fed holds massive amounts of 10 years on their balance sheet - taking them out of the market. Many companies must hold 10 years, like banks, pensions, etc. So they are limiting supply hence driving up price / lowering yield.
On the other side you have the treasury, which historically for years sold 85% coupons and 15% bills, Its now inverted and they sell 85% bills. Bills are fixed based on the fed funds. Bessent blasted his predecessors for this practice before, but now that he is in charge he is doing the exact same thing.
Unmanipulated the 10 year would be significantly higher, so it ripples through the system.
Yes and no. When we "wait and see", let's watch all rates move and shift. Now sure they are "banded", manipulated bands, just enough freedom.
Direction yes. But the whole thing is muted.
BDC's like the flatness this AM. Preferreds indifferent (normal typically). Bond funds flat. Short term variables off a little.
