4 ms·
Thank you SEC.
by thrill 3y ago
Thank you SEC.
- asylteltine 3y agoAnd in case people don’t know, this is referring to an accredited investor which is a government enforced way for the rich to get richer.
- imetatroll 3y agoWell they try to justify it by saying that we unwashed masses don't have enough savvy to be investing.
- mikeyouse 3y agoHave you browsed through the Wall St Bets subreddit? Not that pre-IPO investing is any more reckless than throwing away money on naked options, but it gives a good sense for the savviness of the average investor.
- toomuchtodo 3y agoThe unwashed masses don’t have enough savvy. They’re gambling on crypto coins and 0DTEs. Or they’re dumping their life savings into crypto “earn” products where the yield is from a ponzi and they’re surprised when the whole thing vaporizes.
- ben_w 3y agoOne thing ChatGPT taught me, is that it can reason and argue better than me about basically everything I'm not already an expert in. If you don't trust ChatGPT to make investments, you shouldn't trust the masses (including me) either.
- Swenrekcah 3y agoTo be fair it is mostly a way to prevent scammers from fleecing the common man. It is unfortunate that the laws also forbid many sound investments, but not as large a problem as you might think because most of the real oppertunities would never have been offered to random people anyway.
- renewiltord 3y agoYou can just self-claim to be an accredited investor. I did this for ages until it started becoming true. But it's probably best they stay private. As you can see in these HN comments, public investors lack the ability to see the project through. i.e. there will be failures, planned and unplanned. This is also why I think Kickstarter projects should be restricted to people who understand that they can end up with nothing. I know of at least a couple low-profile high-value things that are invite-only and I'm only a part of because I'm in the network. This is probably the future of these things. Being able to constrain your audience to only somewhat wealthy people insulates you from the lumpenproletariat, perhaps at the cost of some smart and unwealthy. And to be honest, the lumpenproles usually demand to be protected from these things, so it's a good idea to give them that since there's an easy way to segment the population.
- squidlogic 3y agoMore info on what counts as an accredited investor: https://www.sec.gov/education/smallbusiness/exemptofferings/faq https://www.sec.gov/education/smallbusiness/exemptofferings/...
- esafak 3y agoWhen the company is private; it's hard to get access even if you are accredited.
- paxys 3y agoIf the SEC was the only barrier then millions of private investors would own SpaceX shares right now. Turns out Elon just doesn't want to sell to you.
- deelowe 3y agoI think you mean "doesn't need to" and some see this as a problem. What happens over time to people's retirement funds as the real stock market shifts towards private investment.
- paxys 3y agoThen we go back to pensions and social security instead of gambling. Things would probably be better off that way.
- deelowe 3y agoHow does one convert a 401k into a pension?
- mensetmanusman 3y agopensions don't work with a collapsing population