Q Before we go into this a little bit deeper, what is the AIF? What is cat one, cat two, cat three? Who can take that like very quickly?
A The government didn't know how to regulate all of this. So in 96, they started something called domestic venture capital fund regulations. Everybody was classified under that. Whether you were private equity, real estate, or venture capital. And they realized that there was a crappy way to deal with the complexity of these many asset classes. Because now you're asking us to break it down. The government hadn't figured that they needed to be broken down. So, in 2012, they revised it and called these regulations AIF regulations. Alternative Investment Fund regulations. So basically now they can regulate as basis what kind of risk we take. So cat one cannot invest in certain securities like debt, et cetera, public markets, cat two can, and cat three is only public markets.
AI assessment note: “called these regulations AIF regulations... cat one cannot invest... cat two can, and cat three”