Forefront Capital and Brad Reifler have launched an alternative investment program that caters for not-credited investors. The new program is called Forefront Investment Trust. Reifler noted in a MarketWired report that, for several years, his focus had been on credited investors. The new initiative will focus on non- credited investors that constitute 99% of investors.
The Securities and Exchange Commission (SEC) stipulates that an accredited investor with spouse should have a net worth or combined net worth of over a million dollars during purchase with their house excluded. Secondly, they should have an income of over $200,000 in each of the past two years. For a joint income with a spouse, it should exceed $300,000 in the past two years with similar expectations in the present year.
The above standards for accredited investors were designed to guard investors from risky investments. With the increase in oversight and knowledge within the past 30 years, there has been a need to change the definition of accredited investors. In 2010, a SEC advisory committee was set up and tasked with the responsibility of changing the definition after every four years. The committee recommended that financial sophistication measures should be used instead of the income and net worth measures created 32 years ago.
After careful analysis and due diligence, Brad Reifler, the CEO and founder of Forefront Capital established Forefront Income Trust. The focus of the trust was to provide the middle class with a workable investment opportunity. The rising student debt in the country, an investment in the 529-college savings plan that went wrong in addition to his father in-law being unable to invest shaped his focus to the middle class. This made him discover the limited chances non- accredited investors had. With a determination to change the situation, he started the fund.
The fund gives non-accredited investors an opportunity to invest a minimum of $2,500 that can be withdrawn or added in each quarter. The structures are designed to offer diversification, mitigate risks and greater room for potential growth. It provides several interesting programs that can offer customers liquidity at a return of 8%. Reifler notes that Forefront does not make any money until the 8% has been attained.
Reifler is an outstanding serial entrepreneur. He is well known as the CEO and founder of Forefront Capital. He was the founding partner, CEO, and chairman of Pali Capital, a firm that offers financial services across the globe. Before establishing Pali Capital, he was a star trader working with Refco. Reifler sold his first venture, Reifler Trading Company, to Refco in 2000.
Reifler has been actively involved in business for over 30 years. He started his first steps in business in the early 1980s. He has achieved great success as both an investor and entrepreneur working for many companies within the United States. Brad Reifler is a graduate of Bowdoin College with majors in economics and political science, as outlined on his Wikipedia page.