Accredited Investor As defined in Rule 501 under Regulation D, refers to the type of investor that is not required to receive detailed offering materials in a Regulation D offering. Generally means an individual with $200,000 in recent and expected annual income (or $300,000 when combined with one's spouse) or $1 million in net worth, a broker-dealer, bank or institution, any entity not formed for the purpose of the investment in question with at least $5 million in assets, or an entity all of whose equity owners are accredited. Also, a term used by the SEC under Regulation D to define investors that are financially sophisticated and have no need for the protection provided by certain government filings; also known as a qualified purchaser. Otherwise known as an Angel Investor.
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