What are the benefits of Obtaining an Investors Certificate?

How to get a wholesale investors certificate?

According to the Australian Investment and Securities Commission obtaining an investors certificate doesn’t need to be a headache. In fact, as long as you have earned over $250,000 or more for more than two years, you may be eligible. However, you may also need to demonstrate a net asset value of more than $2,500,000 at the time of your application. Most Investor Certificates are valid for more than 3 months at a time. You can expect these certificates to cost from $900 up to $2,500.

What does holding an Investors Certificate give you access to?

An investors Certificate (IC) may give you access to Wholesale Products, Private Banks, Pre-IPO and other generous products that are not offered to general consumers. The reason being is that there is typically trade off of higher returns in exchange for higher risk (See: Capital Asset Pricing Model, or CAPM for short). Most products that are offered within the High Net Worth or Ultra High Net Work community attract higher returns. This is because legislative protections do not apply in full to those whom hold an IC.

You should always seek independent financial advise.

What is a Professional Investor?

There are many definitions for a professional investor. However, a professional investor is generally defined as someone who has experience in providing advice or dealing in a financial product, owning a large business or someone with a sufficient track record as an investor. ASIC define professional investors as people whom hold an Australian Financial Service License or has a qualification in law, finance, economics or a business related discipline and a successful track record of investment. A successful track record in investment is typically defined as having a business valued at $10,000,000 or more, related to financial services.

What is a Sophisticated Investor?

A sophisticated investor is typically someone who owns more than $2,500,000 in assets in securities, property or other investment interests minus debt. They may also have had a net income of $250,000 or more for more than two years. A sophisticated investor is characterized by someone whom is comfortable with a moderate level of risk, has experience in managing their financial affairs and investments. Sophisticated investors come from many walks of life and it is important to take into considerations the risks and benefits of providing such a certificate.

What is a Wholesale Investor?

A wholesale investor is someone whom is prepared to invest up to $500,000 into a registered asic product and requires a certificate from an Authorized Accountant or Financial Advisors (RG146) to do so.


If you meet the criteria as a professional, sophisticated or wholesale investor then give me a call today. +61434529004.

Leave a Reply

Your email address will not be published. Required fields are marked *