Securities Act 1933
Under Regulation D, an accredited investor includes an individual with a net worth exceeding:
An individual qualifies as an accredited investor with net worth exceeding $1 million, excluding the value of their primary residence. This change was made by Dodd-Frank to prevent over-reliance on home equity. The incom
Complete Analysis & Legal Rationale
An individual qualifies as an accredited investor with net worth exceeding $1 million, excluding the value of their primary residence. This change was made by Dodd-Frank to prevent over-reliance on home equity. The income test is $200,000 individual or $300,000 joint for the past two years.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
Does not match the governing concept in the explanation.
Does not match the governing concept in the explanation.
Matches the verified teaching point in the explanation.
Does not match the governing concept in the explanation.
Official Standard: Outline-level citation pending rule-specific upgrade. Verify against current FINRA materials.