A big challenge for aspiring fund managers is acquiring new investor capital. In this blog post, I want to share some practical advice to help you do that.
So first things first – you must build and showcase a verified track record of trading profitability. Ultimately, that’s what any prospective investor cares about.
Keep in mind that the longer your track record of profitability, the more weight it will hold with a prospective investor.
Inside An Investment Fund Structure
Now, if you already trade inside an investment fund structure, verifying your trading performance is routine, as it’s a regulatory requirement. Here at IFINA, we calculate our clients’ fund net asset value on a daily basis. Plus – each fund is independently audited annually by our partner accounting firm, Baker Tilly (Cayman).
Outside An Investment Fund Structure
However, many in our community operate outside an investment fund structure – running a fund is a future ambition. If you fall into this category, here are two additional ways you can build a verified track record.
First, you can purchase a trading account audit from an independent accountancy firm. They will thoroughly evaluate every trade you have taken (usually over the past 12-months) and calculate your overall profit/loss. Audits can be expensive – but if you’re interested in this service, just email me and I’d be happy to make an introduction to our partner accountancy firm, Baker Tilly (Cayman).
If expense is an issue, you should hook your primary trading account up to a service like MyFXBook or SimpleTrader. These services track the overall performance of your trading account in a transparent way.
No matter which method you use, ensure you communicate your verified track record on your website and social media channels.
Ready To Manage Your Own Investment Fund?
If you want to create your own investment fund, we should talk. Feel free to email me and we can arrange a call on Skype. Thanks for reading – I’ll be in touch next week with some more content.