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Qualifying Investment

An investment that counts toward a venture-capital fund's qualifying-investment requirement, generally direct equity in eligible private operating companies rather than debt, secondary, or fund interests.

What traders should verify

For Qualifying Investment, inspect the legal structure, adviser and Form ADV, investor eligibility, strategy, holdings, fees, leverage, liquidity, conflicts, and reporting date.

Do not conflate

The label Qualifying Investment does not by itself establish registration status, current holdings, liquidity, risk, performance, or investor eligibility.

Primary source

SEC definition

Source boundary: this glossary reflects SEC staff views and is not a Commission rule, regulation, or statement. Check the linked source for current wording and legal context.

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