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 "identifier": "kaal:entity:investor-suitability",
 "name": "Investor suitability",
 "termCode": "investor-suitability",
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 "author": {
  "@type": "Person",
  "name": "Wulf A. Kaal",
  "identifier": "https://orcid.org/0000-0003-0757-275X"
 },
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 "subjectOf": [
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/1428387-028",
   "identifier": "kaal:claim:1428387-028",
   "text": "Investor suitability standards are the author's preferred regulatory option because they would probably protect retail investors' interests without unduly burdening the hedge fund industry and other market participants.",
   "abstract": "Investor suitability standards seem the most preferable to this author because they would probably protect the interests of retail investors while at the same time not unduly burdening the hedge fund industry and other market participants.",
   "citation": "Kaal, Hedge Fund Valuation Retailization, Regulation, and Investor Suitability (2009). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1428387",
   "datePublished": "2009",
   "claim_type": "design",
   "confidence": "argued",
   "is_failure_mode": false,
   "scope_conditions": [
    "compared against limiting complex products, raising qualification thresholds, mandating disclosure, and retail-level triggers"
   ],
   "source_pdf_sha256": "6aa3a280dc6750723be2389f3af2aabf3a16c4ce20e49fcdaddd7f2ea95a67aa",
   "status": "current"
  },
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/1428387-039",
   "identifier": "kaal:claim:1428387-039",
   "text": "Investor suitability standards would address the sophistication problem by requiring independent verification that investors in highly complex financial products can evaluate investment risk independently and are capable of making independent investment decisions.",
   "abstract": "Investor suitability standards would address these concerns by requiring independent verification that investors in highly complex financial products have the capability to evaluate investment risk independently and are capable of making independent investment decisions.",
   "citation": "Kaal, Hedge Fund Valuation Retailization, Regulation, and Investor Suitability (2009). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1428387",
   "datePublished": "2009",
   "claim_type": "design",
   "confidence": "argued",
   "is_failure_mode": false,
   "scope_conditions": [
    "for investments in highly complex financial products"
   ],
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  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/1806252-032",
   "identifier": "kaal:claim:1806252-032",
   "text": "The numerical wealth requirements used to define qualified hedge fund investors fail as a regulatory device, because investors who meet the wealth thresholds do not always have the knowledge, understanding, and sophistication needed to invest in highly complex financial instruments.",
   "abstract": "The policy fails to take into account investors who technically fulfill the numerical wealth requirements but lack an adequate level of financial sophistication.",
   "citation": "Kaal, Hedge Fund Regulation Via Basel III (2011). SSRN: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1806252",
   "datePublished": "2011",
   "claim_type": "failure",
   "confidence": "argued",
   "is_failure_mode": true,
   "scope_conditions": [
    "accredited investor standards under Regulation D and PFIARA"
   ],
   "source_pdf_sha256": "3343ebfe05a925c3d1a75625c4b351ccff515c50819a48d155804daacf01429d",
   "status": "current"
  },
  {
   "@type": "Claim",
   "@id": "https://wulfkaal.github.io/claims/2998097-010",
   "identifier": "kaal:claim:2998097-010",
   "text": "Investor suitability standards requiring independent verification of an investor's ability to evaluate complex financial products and investment risk would make wealth redundant as a proxy for sophistication in determining investor eligibility.",
   "abstract": "Such proposed investor suitability standards would require independent verification of investors' ability to evaluate highly complex financial products and investment risk, rendering wealth as a proxy for sophistication redundant for investor eligibility.54",
   "citation": "Wulf A. Kaal, Private Investment Fund Regulation - Theory and Empirical Evidence from 1998 to 2016 (2017). SSRN: https://ssrn.com/abstract=2998097",
   "datePublished": "2017",
   "claim_type": "design",
   "confidence": "argued",
   "is_failure_mode": false,
   "scope_conditions": [
    "private investment fund investor eligibility",
    "proposed in 2009, before Title IV"
   ],
   "source_pdf_sha256": "0955054f49c7011d33c285579bb046e6b284e42755b10fd2546a728c202669d5",
   "status": "current"
  }
 ],
 "description": "4 claims in the published works of Wulf A. Kaal carry the concept tag 'investor-suitability'. Derived node: a roster, not an adjudicated definition."
}