As a requirement of investing in a particular business investment, your customer has just signed a statement attesting to his annual income, net worth, and affirming that the risks associated with the investment are understood. The signed statement, once submitted with the intended investment amount, will either be approved or disapproved. Approval allows the investor to subscribe to the investment. Which of the following investments would have such a requirement?

A) A variable annuity
B) A special situation fund
C) A direct participation program
D) A collateralized mortgage obligation

Ans: C) A direct participation program

Business

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