FINRA Investment Banking Representative Practice Exam 2025 – The Complete All-in-One Guide to Exam Success!

To qualify as an accredited investor in the context of net income, married individuals must meet specific income standards. The U.S. Securities and Exchange Commission (SEC) defines an accredited investor as someone who has an individual net income of $200,000 or more in each of the two most recent years, or a joint income with a spouse that exceeds $300,000 during that same period.

The income requirement for a married couple is relevant because it takes into account the combined earning potential of both individuals, recognizing that partnerships often share financial resources. Therefore, for married applicants, it's necessary to have a total income that surpasses the $300,000 threshold to be considered accredited investors.

This is why the choice stating a minimum of $300,000 is appropriate for married individuals, reflecting the regulatory standards in place to protect investors and ensure they possess a certain level of financial sophistication and capacity to absorb potential investment losses.