A lady litigator has launched a small-time hedge fund out of her apartment.
Sarah Bernett’s Bernett Diversified Global Fund is aimed at “low to middle income” investors, so she has decided to ask no more than $1,000 from investors wishing to take up a stake in her new fund.
$1,000 is a ridiculously low minimum for a hedge fund, and in fact, we’re not even sure how it’s legal, given the requirement that hedge fund investors be accredited and have a net worth of at least $1 million.
Bernett says she can’t explain more, though:
“…due to outdated securities laws predicated on the false theory that non-wealthy investors are too stupid to comprehend financial information and act in their best interests.”
According to FINalternatives, founder Sarah Bernett aims to attract $500,000 for her fund, but her filing with the SEC shows that so far she’s only raised $30,050.