Elderly "Accredited Investors" Less Sophisticated Than Those With Only High School Education

A trio of researchers at Texas Tech University have documented what many inside the world of alternative investments might have already knew based on anecdotal experience:  just because someone has the financial wherewithal to be considered an “accredited investor” does not mean they understand alternative investments.

Study shows younger people with no more than a high school education know more about investing than 80 year old accredited investors

In studying accredited investors over the age of 80 – those with $200,000 annual income/$300,000 for a couple, or a net worth of over $1 million excluding primary residence – researchers documented that accredited households age 80 and older are more than 80% less likely than unaccredited investors age 60-64 to have high...