Securities and Exchange Commission chairman Elisse Walter has voiced concerns over potential increased investment losses by qualified but unsophisticated “accredited investors”.
Implementation of the JOBS Act, she said, would greatly increase the potential for fraud against recent retirees, among others. Walter recommends an overhaul of the accredited investor definition, as well as additional oversight and industry regulation.
Vcheck Global’s due diligence processes are positioned to help fund managers prove to regulators that their investor clients have been properly vetted. By using its investigative processes, Vcheck Global has been able to quickly and affordably give clients more detail about the people they do business with and accept funds from.
Vcheck’s Accredited Investor Report includes identity verification, bankruptcies, judgments and liens, litigation from federal, state and county courts, securities industry research, corporate relationships, criminal history pertaining to drugs or fraud, and derogatory press coverage going back 20+ years.
Offshore due diligence services are also available in many jurisdictions – an invaluable service when investor funds are originating from areas known to be havens for questionable sources of wealth.
Turnaround time options range from one day to one week. Affordable rates begin at USD375 for standard time service and USD1,200 for next-day service. A streamlined ‘high-level’ expedited report is also available. Rates outside the US vary depending on jurisdiction.
"Enhanced due diligence is an excellent safety net for most fund managers wanting to avoid litigation and SEC examiner problems. Our Accredited Investor Reports provide an affordable, proactive approach to upcoming changes and new SEC guidelines," says Michael Adams, Vcheck Global’s chief executive.
