How do I qualify for PC status?

Question

Accepted Answer

As an individual investor, you can only qualify as a Professional Client if you meet the following criteria:

Have ‘net’ assets of at least $1 million;

AND

Are currently, or have been, over the last two years, an employee in a relevant professional position of a regulated financial institution;

Or,

Appear, on reasonable grounds, to have sufficient experience and understanding of relevant financial markets, products or transactions and any associated risks.

Please note: the asset test is based on your net assets, deducting any mortgages or other charges held over the property from the value of the assets. When calculating your net assets, we must exclude the value of the primary residence, if you own it, unless you own more than one home; and, the assets can be directly held by you through legal ownership, or indirectly by beneficial ownership (for example, if you’re a beneficiary in a trust). Due to regulatory requirements, we would need to obtain sufficient evidence on your status as a PC.