Accredited Investor

Definition - What does Accredited Investor mean?

An accredited investor is any individual that meets one or more of the following:

  • A net worth exceeding $1,000,000 excluding the primary residence; or
  • Is single and has an annual income of $200,000 or more, or $300,000 jointly with a spouse.

Testopedia explains Accredited Investor

Because of their higher net worth and or higher level of income accredited investors may participate in a variety investments that may not be available to smaller less sophisticated investors. A private placement may be sold to an unlimited number of accredited investors.

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