I looked at this photo of the U.S. Capitol bathed in morning light and couldn’t help but think: what a scene! It’s like the building was saying, “Yeah, I’m still here, doing my thing.” Ken Cedeno got this shot — just thought I’d mention that.
So, more folks might get a shot at investments usually set aside for those with way too much money. Yep, there’s a bill floating around the House to tweak who can be an “accredited investor.” Crazy, right? They want to let in people who can pass some test regulators cook up. No need to roll in dough — just ace the quiz. The deal? Get a slice of pre-IPO pie, private credit, that juicy venture capital, and hedge funds.
The whole gig is called the Equal Opportunity for All Investors Act of 2025. Imagine that, making tests to prove you’re savvy enough without hitting the wealthy jackpot first. Right now, you’ve got to rake in $200K solo or $300K with your spouse to qualify. Or, if you’ve got a cool million in net worth, you’re in (without counting your sweet pad). Inflation didn’t get the memo on those numbers, so more people have snuck into the club over the years. Weird, huh?
Mike Flood from Nebraska put it bluntly: being rich isn’t the best way to show you’re investor-smart. He figures knowing the ins and outs does the trick. Makes you wonder if he’s onto something or just on something…
Don’t get comfy just yet — the bill’s got a few more hurdles. Senate’s gotta nod, and the President has to pen his approval. Classic politics.
Jumping over to the SEC jazz, those rules keep people safe from drowning in private assets that are sketchy at best — less liquid and more volatile than the usual suspects. The private stuff can be a nightmare to value, the experts say. And if you don’t get why, maybe stick to safer shores.
The point of the test seems to be figuring out if you’re really equipped to handle the rollercoaster ride of private securities. I guess they’re aiming for a sweet spot that’s challenging but not absurd. Flood, again, with his takes.
On a lighter note, businesses are pretty stoked about this. New money flowing in? Yeah, that could be great for startups. Rep. McBride from Delaware says it’s not ideas but cash that’s the bottleneck. With these changes, maybe more local and relatable investors get to pony up and support fresh ideas.
Eric Satz of Alto threw in some thoughts too — he sees this as breaking down that “walled garden,” opening doors for the average Joe as if they had a billionaire’s bankroll. I mean, who doesn’t want that?
Not everyone’s hyped, though. A lot of advisors keep private investments under lock and key, mostly for clients who’ve checked all the basic boxes. Catherine Valega from Green Bee Advisory isn’t buying it. She practically warns, “Hey, most of you shouldn’t touch this with a ten-foot pole.” With so many lacking even a rainy-day fund? Her skepticism isn’t out of nowhere.
Anyway, if you’re curious and brave, there’s always Money 101, a neat lil’ course that pops into your mailbox weekly. No harm in brushing up before diving into private investments, right?
So that’s that. I mean, make of it what you will.
