$100 Exam Could Open Private Markets to Retail as Institutions Pull Back

Americans without $1 million in net worth or a $200,000 salary could soon invest in private companies by passing an accredited investor exam the SEC has put out for public comment.

Right now, wealth decides who counts as an “accredited investor.” Only they can buy into most startups and private funds before those companies list on a stock exchange.

What Would the Accredited Investor Exam Test?

The Financial Industry Regulatory Authority (FINRA), the industry body that licenses US stockbrokers, would build the test, according to the SEC’s notice.

Anyone aged 18 or older could sit it. Candidates would get about two hours for roughly 75 multiple-choice questions, taken in person only.

The fee would likely match FINRA’s entry-level broker exam, currently $100. A pass would stay valid for 10 years.

Investment risks would carry the most weight, at 20% to 28% of the test. Financial statements, conflicts of interest, and corporate governance would also feature.

The SEC is also asking whether certified public accountants (CPAs), Chartered Financial Analyst (CFA) charter-holders, and Certified Financial Planner (CFP) professionals should qualify automatically.

Why Armstrong Is Cheering and Who Is Pushing Back

Brian Armstrong, CEO of the crypto exchange Coinbase, called the plan “a huge step forward” for investors priced out of private deals.

“For too long, only the richest people have had access to the private markets. Retail has been missing out,” he wrote in a post.

Crypto firms are already moving toward that market. MoonPay agreed in September to buy North Capital, a Utah broker handling private stock deals.

However, not everyone sees the exam as the answer. SEC Commissioner Hester Peirce backs looser rules but said a test still casts the government as gatekeeper, according to law firm Mayer Brown.

I'm not a fan of accredited investor gating, but at least we're proposing to nudge the gate open a bit: https://t.co/ylpd8v0SRV

— Commissioner Hester Peirce (Archived) (@PeirceArchived) September 30, 2026

Meanwhile, Noah Damsky, a principal at Marina Wealth Advisors, called the exam idea “horrible” in comments to Financial Planning. He argued many private-market products fit ordinary investors poorly.

The timing has also drawn scrutiny. Money raised by private funds is on track to fall for a fifth straight year, according to PitchBook data.

With exits and payouts down, institutional investors have less cash to commit to new funds, PitchBook noted.

Better Markets, a financial reform group, links the SEC’s plan to that slowdown. Its securities policy director, Benjamin Schiffrin, said in a statement that funds need retail savings “as institutional investors increasingly pull back from private markets.”

The public has until December 4 to comment. The exam sits inside SEC Chair Paul Atkins’ wider push to open private markets to retail savers, alongside a proposal letting more funds charge performance fees.