News & Events

Corporate Partners Rajib Chanda and Olga Gutman were quoted in an HFM Week article titled “SEC questions loosening accredited investor definition,” which discusses the SEC’s recently issued concept release seeking feedback on changing the accredited investor standard. In the article, Rajib mentions that any revisions that resulted from changing the accredited investor standard would have little impact on most of the private funds industry. Olga agrees, saying “[a]s private funds are most often looking at more sophisticated investors and rely on various exemptions to avoid being more heavily regulated, tinkering with the definition of accredited investor to most of the private fund industry is not that relevant because the bar is already higher.” However, Rajib notes that by more broadly permitting existing registered products to invest in private offerings, the concept release might “. . . expand who can invest in private funds through a registered fund, a target date fund or a private plan sponsor’s product offering.”