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What does it mean to be a restricted investor?

To invest in crypto exchange-traded notes (ETNs), you're required to certify whether you qualify as a high-net-worth investor or a restricted investor.

Putting all your money into a single business or type of investment is risky. Spreading your money across different investments makes you less dependent on any one to do well.

You should not invest more than 10% of your net assets in high-risk investments. Doing so could expose you to significant losses.

Definitions of net assets and high-risk investments

For the purposes of this classification,

  • Net assets do not include: your home (primary residence), your pension (or any pension withdrawals) or any rights under qualifying contracts of insurance
  • High-risk investments are: cryptoassets (such as bitcoin), cryptoasset exchange traded notes, unlisted debt and equity (such as companies not listed on an exchange like the London Stock Exchange), peer-to-peer (P2P) loans, investment based crowdfunding, and units in a long-term asset fund

Restricted investor eligibility

By selecting this client classification, you confirm that you qualify as a Restricted investor on the basis that:

  • In the past 12 months, you have invested less than 10% of your net assets in high-risk investments (as defined above), and
  • You're not planning on investing more than 10% of your net assets in high-risk investments (as defined above) in the next 12 months

Acknowledgement of risks and advice

By selecting this client classification, you also accept that being a restricted investor will expose you to promotions for investments where there is a risk of losing all the money you invest.

You also confirm you’re aware that it is open to you to seek professional advice before making any investment in a high-risk investment.