Sula re: "So what is a sophisticated investor?"

http://www.marketwatch.com/story/definition-of-sophisticated-investor-varies-2010-04-26

"Sophisticated investors, according to part of the SEC's definition, have enough knowledge and experience in business matters to evaluate the risks and merits of an investment. The SEC exempts small companies from registering certain securities sold to these investors."

http://www.investopedia.com/terms/s/sophisticatedinvestor.asp

"Sophisticated investors are the dream clients of most financial services firms, as they generate much higher fees than retail investors." and "Certain assumptions are made about sophisticated investors: that they can hold their investments indefinitely (the funds do not need to be liquidated for cash needs)"

Bold is mine, not so sure about that one in bold