Private Placements

When capital is raised via private rather than public placement, securities are sold to a relatively small number of investors. Investors involved in private placements are usually large banks, mutual funds, insurance companies, pension funds and high net-worth individuals. Because a private placement is offered to a few, select individuals, the placement does not have to be registered with the Securities and Exchange Commission. In many cases detailed financial information is not disclosed and the need for a prospectus is waived. Private placement offerings are only offered to “Accredited Investors”. For qualified investors, private placements may offer an investment alternative that offers significant total returns and risk commensurate with returns. These offerings are generally not available to the average investor. Typically these investments have a high risk/high reward potential.

• Qualify as an Accredited Investor