I think the point is, an experienced investor should be able to either see through a fraud or at least do proper due diligence before investing a large sum. Pl

I think the point is, an experienced investor should be able to either see through a fraud or at least do proper due diligence before investing a large sum. Plus, institutions often make a small initial test investment. If the performance is as expected, risk considered, then they may make the big investment. A retail investor can't be expected to properly research claims, but a professional should be.