Template:AI QIB

A qualified institutional buyer (QIB) is a type of institutional investor that is eligible to purchase securities that are not registered with the Securities and Exchange Commission (SEC). These securities, known as “restricted securities”, are generally only available to purchase by QIBs and other large, financially sophisticated investors.

In order to qualify as a QIB, an investor must meet certain criteria set forth in the Securities Exchange Act of 1934. Specifically, a QIB must meet one of the following conditions:

• It must be an institution with at least $100 million in assets
• It must be an investment company registered under the Investment Company Act of 1940
• It must be a bank or savings and loan association with at least $50 million in assets
• It must be an insurance company with at least $100 million in assets
• It must be an investment adviser registered under the Investment Advisers Act of 1940
• It must be a registered broker-dealer

QIBs are typically large institutional investors, such as pension funds, mutual funds, insurance companies, and investment banks. They are considered to be financially sophisticated and able to bear the risks associated with investing in restricted securities.