How do you avoid exorbitant fees, counterparty risk, or outright fraud when investing in pre-IPO SPVs? The hard truth is there might not be any way to completely avoid these risks. These markets are risky, and the current frenzy for pre-IPO only exacerbates that risk. The valuations we are seeing for the top private companies are completely unprecedented, and while this creates huge opportunity for investors, it also creates incentive for bad actors.