InvestorPlace: Craig R. Everett Shares Expertise on How to Diversify Your Portfolio During a Crisis
As mass quarantine continues to impact communities across the nation, investors are noticing the impacts to their investments. That natural reaction to this medical scare has made many investors consider ways to diversify their portfolios. To help ease investors’ concerns and uncertainties, InvestorPlace published an article that shares ten ways to diversify your portfolio and how to implement a long-term solution. Craig R. Everett, PhD, assistant professor of finance at Pepperdine Graziadio shared a tip on how to diversify your portfolio through equity crowdfunding. "Previously, the only people that could invest in startups (or even venture capital funds or private equity funds, for that matter) were 'accredited investors,' which basically means rich people who could afford to lose their entire investment without hardship. The SEC historically resisted the concept of equity crowdfunding because startup investing is mind-bogglingly risky and therefore most investors will lose everything and a few will hit home runs."
One of the best equity crowdfunding platforms in the U.S. that caters to non-accredited investors is WeFunder, where investors can put as little as $100 into a private company. Investors interested in equity crowdfunding opportunities should look for opportunities that attract lots of small investors and have a heavy grass-roots following. Read more.