Qualified Purchaser

Regulation · CC-BY-4.0

Investor qualification standard under §2(a)(51) of the Investment Company Act used to permit Section 3(c)(7) fund offerings. Generally requires individuals to own $5M+ in investments (or own/control $25M+ for entities not family-owned).

Details

• aliases: QP
• jurisdiction: US
• regulator: SEC
• kind: rule
• effective date: 1996-10-11
• summary: Investor qualification standard under §2(a)(51) of the Investment Company Act used to permit Section 3(c)(7) fund offerings. Generally requires individuals to own $5M+ in investments (or own/control $25M+ for entities not family-owned).
• related regulations: investment-company-act-1940
• related terms: accredited-investor, section-3c7, knowledgeable-employee
• official text url: https://www.sec.gov/about/laws/ica40.pdf
• history: Added to the ICA by NSMIA (1996).