What is an Accredited Investor?

An accredited or sophisticated investor is an investor with a special status under financial regulation laws. The definition of an accredited investor vary between countries. Generally, accredited investors include high-net-worth individuals, banks, financial institutions and other large corporations, who have access to complex and higher-risk investments such as venture capital, hedge funds and angel investments.

Laws may require that some types of financial offerings may only be made to accredited investors.