Amazon it really comes down to an individual's financial...

Amazon it really comes down to an individual's financial position being indicative of their experience, and by setting a benchmark it's uniformly applied.

The reason it's there is to remove the need to provide documentation around an offer of securities. That is, an SI should appreciate the risks and benefits so the company doesn't have to disclose as much of its information.

It removes a safety net, and presumes you know the risks. Are the thresholds appropriate? Don't know, but it's much easier than getting every aspiring SI to do an exam.

Good luck.