Understanding Net Worth Calculation for Accredited Investors: A Comprehensive Guide
Calculating net worth is a crucial step for individuals seeking accreditation as investors. It determines their eligibility for exclusive investment opportunities unavailable to non-accredited investors. A real-world example of this is a high-net-worth individual with assets of $1 million and liabilities of $200,000. Their net worth would be $800,000, potentially qualifying them as an accredited investor.