In this article, I want to explain the key components of an investment fund.
If you have an ambition to launch your own investment fund in the near future, it’s important that you know what these components are.
Jurisdiction
Before you launch your investment fund – you need to choose the most appropriate jurisdiction in which to establish it.
Specifically, you need to choose a jurisdiction that is credible with both prospective investors and institutional partners.
At IFINA, we help fund managers and talk through the most suitable jurisdictional options for their prospective investor base and counterparties.
Fund Structure
Next, you need to choose an appropriate fund structure. The following questions can be useful in determining the best solution.
- What are the nationalities of the target investors?
- What are the anticipated assets under management (AUM) on day one?
- How many investors are anticipated at launch and after one year?
- What is the fund investment strategy?
Again, we can help prospective investors make the most appropriate choice in regards to fund structure.
Counterparties & Service Providers
The choice of fund counterparties and service providers is crucial to presenting a credible and viable investment fund which will be promoted to prospective investors.
Choosing a respectable, recognisable and regulated auditor firm, bank, custodian and broker gives investors a high degree of confidence that the fund is credible.
As an experienced fund administrator, we can introduce fund managers to reputable partners within the industry.
Create Your Own Investment Fund
With IFINA, you can set up your own Investment Fund for less than $10,000 USD. Just email me back and we can arrange a free consultation on Skype.