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Claire has just received an inheritance from one of her aunts and is considering investing a large lump sum into an investment account. Under the Corporations Act 2001, she will be defined as a retail client unless she invests in excess of what minimum sum?

User Jscarle
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Final answer:

Claire will be defined as a retail client under the Corporations Act 2001 unless her investment meets the threshold to be considered a wholesale client, which is not specified but typically requires a significant amount.

Step-by-step explanation:

Under the Corporations Act 2001, Claire would be classified as a retail client unless she invests a certain minimum sum that qualifies her as a wholesale client. The exact threshold amount can vary, but typically it requires a substantial investment amount or stipulations such as the investor having a certificate from a qualified accountant confirming they have a prescribed net wealth or income. The determination of this minimum sum is crucial for investment considerations and understanding the regulatory protections afforded to retail clients as opposed to wholesale clients.

User Vergenzt
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