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Ask HN: I have $25,000 to invest

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Re: Ask HN: I have $25,000 to invest

#32

If you only have $25,000 in savings, please don't invest it in a startup! Until you can write a check that you're okay with never seeing again, you should invest in more conservative assets. Technically speaking, no private startup can legally take investment from someone who does not meet the SEC's definition of an "accredited investor." The Jobs Act was supposed to change this, but that part of it hasn't come into…

Startups can take money from anyone, but it's a lot less complicated with accredited investors.

Re: Ask HN: I have $25,000 to invest

#33
post #22

Read a little bit about "adverse selection". The startup investment opportunities open to you with this amount of money are likely going to be ones that savvy investors have rejected. The people telling you to put this money into an index fund are right.

Not true at all. His experience + $25k pooled with other angels could be valuable to another company.
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