This page explains what we mean when we ask you to complete a High Net Worth Individual Declaration.
Investing Women Angels is a member-led angel investment community. From time to time, we may share information about private investment opportunities with our members. These opportunities are typically in early-stage or growth businesses and may involve a high level of risk.
Because of this, UK financial promotion rules require us to check that people receiving certain investment-related information fall within an appropriate investor category. One of those categories is known as a High Net Worth Individual.
For the purposes of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, you may be able to declare yourself a High Net Worth Individual if you meet Condition A and/or Condition B below.
You only need to meet one of these conditions.
You may meet Condition A if, in the last financial year, you had an annual income of £100,000 or more.
Income does not include one-off pension withdrawals.
In the declaration form, you will be asked to confirm whether this applies to you. If it does, you will also be asked to provide your income to the nearest £10,000.
You may meet Condition B if, in the last financial year, you had net assets of £250,000 or more.
Your net assets are your total assets minus any debts you owe.
For this declaration, net assets do not include:
In the declaration form, you will be asked to confirm whether this applies to you. If it does, you will also be asked to provide your net assets to the nearest £100,000.
By completing the High Net Worth Individual Declaration, you are confirming that you meet the relevant financial threshold and that you wish to be treated as a High Net Worth Individual for the purposes of receiving certain investment-related information.
This means you may receive financial promotions where the contents have not been approved by a person authorised by the Financial Conduct Authority.
It also means that the content of those financial promotions may not comply with FCA rules.
By signing the declaration, you may lose significant rights and protections.
In particular, you should understand that you may not have access to:
This means that, if something goes wrong with an investment, you may not be able to complain to the Financial Ombudsman Service or claim compensation from the Financial Services Compensation Scheme.
By signing the declaration, you may lose significant rights and protections.
In particular, you should understand that you may not have access to:
This means that, if something goes wrong with an investment, you may not be able to complain to the Financial Ombudsman Service or claim compensation from the Financial Services Compensation Scheme.
Angel investing can be rewarding, but it is high risk.
You should only invest money you can afford to lose. Investments in early-stage and private companies are usually illiquid, which means they can be difficult or impossible to sell. Returns are not guaranteed, and you could lose all of the money you invest.
Some businesses fail. Others may take many years to return capital, if they return capital at all.
You should also understand that any information shared about an investment opportunity may be based on forecasts, assumptions or projections. These may not be achieved.
No. Investing Women Angels does not provide investment, legal, tax or financial advice.
We may facilitate introductions, events, education and access to information about potential investment opportunities, but each member is responsible for making their own independent investment decisions and undertaking individual research and due diligence.
You should consider seeking advice from someone who specialises in investment advice, like an Independent Financial Advisor (IFA), before making any investment decision.
The declaration is a self-declaration and we only require you to complete a short online form. However, you should answer honestly and carefully.
You will be asked to confirm:
You should not complete the declaration unless the information you provide is true and accurate.
If you do not meet the High Net Worth Individual criteria, you may still be able to engage and invest with IWA in other ways. For example, you can join our training course to become what we refer to as a ‘Sophisticated Investor’, or you may already be a sophisticated investor – in which case we will send you the Sophisticated Investor Declaration form instead to complete.
If you are in any doubt, please contact us.
Please do not complete a High Net Worth Individual Declaration unless you genuinely meet Condition A and/or Condition B.
Before signing the form, please make sure you understand that:
Questions?
If you are unsure whether this declaration is right for you, please contact us to discuss.
