Definitions for "Sophisticated Investor"
(USA) An investor who is sufficiently knowledgeabl... Add a comment
An investor who has sufficient knowledge and experience with investing that he/she is able to evaluate the merits of an investment. A requirement of certain exempt offerings. see also accredited investor.
Any investor who is capable of assessing the risks involved with a hedge fund -- either alone, or with the help of an investment advisor -- as described in Rule 506 of Regulation D of the Securities Act of 1933.