Accredited Investor Debate Puts SEC On Hot Seat

Eliza Fromberg was quoted in an article, "Accredited Investor Debate Puts SEC On Hot Seat" in Law360. In the article, Fromberg discusses how the U.S. Securities and Exchange Commission is considering revising the definition of an accredited investor. The SEC is considering several measures that would expand the pool of accredited investors by factoring in sophistication. Fromberg cautioned against adopting too complex a formula for determining sophistication, noting that the burden will ultimately fall on issuers selling the securities, potentially draining their limited resources and stifling a growing market.