If a bank may deal only with “qualified investors” to meet the terms of an exemption or exception, who can be its customers or counterparties?
Answer #18: The term “qualified investor” is defined in Exchange Act Section 3(a)(54). [15 USC 78c(a)(54).] Qualified investors include investment companies, banks, small business investment companies, any State sponsored employee benefit plan, institutional trusts, market intermediaries, and individuals, corporations or partnerships that own and invest on a discretionary basis more than $25,000,000.
