A new investor cateogry has been introduced by SEBI in addition to regular investors: Accredited Investors.
Aimed at protecting those unfamiliar with high-risk investments, strict requirements ensure that accredited investors are knowledgeable and financially stable to handle potential losses. Rather than banning risky securities, regulators will its limit access to only qualified and stable investors.
To become an accredited investor, one must meet specific criteria defined in the SEBI circular and obtain the ‘Accredited Investor’ certification from a SEBI Accredited Agency. Learn more.