Sign up for free newsletter

 

Guide to setting up alternative investment funds

2016 Guide to setting up an Alternative Investment Fund in the USA
2016 Guide to setting up an Alternative Investment Fund in the USA

Mon, 16/05/2016 - 12:00

How are AIFS set up in the USA? How do traders and prop desk alumni take the first the steps to setting up their own AIFs in the transparent and correct format required by investors and regulators? And, given regulatory differences on either side of the Atlantic, where should these funds be domiciled? To help answer these and other key questions GFM has prepared the 2016 Guide to Setting up an Alternative Investment Fund in the USA

The '2016 Guide to setting up an Alternative Investment Fund in the USA' special report comprises 13 separate articles listed below, these can be read individually or as a sequence.

Sunil Gopalan

2016 Guide to setting up an Alternative Investment Fund in the USA - Introduction

Mon, 16/05/2016 - 12:08

The hitherto opaque alternative investment funds (AIFs) industry has been making significant strides towards transparency, driven largely by the demands of institutional investors and global regulators, who want to see AIFs deliver clarity and accuracy in their trading and investor reporting methods. »

Gavel and scales

Chapter 1: Legal & tax structuring

Mon, 16/05/2016 - 12:17

The two key questions that will drive fund structuring decisions are: Where is the money coming from and what do you want to do with it? »

Ron Geffner

Structuring a tax-efficient hedge fund

Mon, 16/05/2016 - 12:22

When embarking on any new business, it's important that one not only engages professionals with deep industry knowledge but also commercial knowledge to support the various stages of business growth. For anyone establishing a hedge fund, their needs are going to change as their business evolves from launch to maturity. »

Bob Guilbert

Grading your cloud provider: four critical criteria

Mon, 16/05/2016 - 13:08

By Bob Guilbert – You're a new fund manager, and somewhere on your task list the letters "IT" are probably followed by a question mark. Odds are, you don't have a technology background, so as your firm's Chief Operating/Financial/Compliance Officer (or in some cases, Portfolio Manager), the sudden responsibility you've undertaken as your firm's de facto IT Manager is intimidating at best.  »

Regulation

Chapter 2: Regulations & compliance

Mon, 16/05/2016 - 12:41

US hedge fund managers face significant regulatory requirements, which this chapter cannot possibly cover in detail. But there are a few key areas of particular import, which shall be summarised below. In addition, this chapter will highlight some of the key considerations for implementing a compliance manual; a must-do task for any ambitious start-up manager who intends to incorporate best practices from the get-go and place themselves in the best possible light with prospective investors. »

Brian Roberts

Compliance mindset to be set by senior management

Mon, 16/05/2016 - 12:46

Although it might not necessarily be top-of-mind for a start-up manager, if they are serious about building a proper business then establishing a culture of compliance from the get-go is important.  »

Frank Napolitani

ODD considerations for start-up managers

Mon, 16/05/2016 - 12:49

Operational due diligence or "ODD" are arguably three of the most important words for any start-up manager hopeful of attracting new investors. Such is the level of expectation among institutional investors today that even if the manager only has USD20-30m in AUM and outsources the CFO function, operationally they still must look and act like a serious outfit.  »

Jeffrey Rosenthal

Chapter 3: Selecting service providers

Mon, 16/05/2016 - 12:54

Choosing appropriate service providers is one of the cornerstones to creating a successful hedge fund business.  »

Dennis Westley

Key criteria for selecting a fund administrator

Mon, 16/05/2016 - 13:01

If one were to sum up the key role of a hedge fund administrator, it is to independently value a fund's assets, allocate those assets correctly to individual investors, and accurately report the allocations to those investors.  »

Clouds

Chapter 4: Technology considerations

Mon, 16/05/2016 - 13:05

Cloud technology – The scale of a manager's IT infrastructure will largely depend on the type of trading strategy. A quantitative market neutral statistical arbitrage fund is likely going to spend more capital on front-office portfolio management, risk management systems and server storage capabilities than a specialist credit strategy that trades infrequently.  »

Jeffrey Rosenthal

Financial budgeting: One chance to succeed

Mon, 16/05/2016 - 12:37

Planning a hedge fund launch is a serious business. People need to decide whether they are truly ready, both financially and mentally, and be confident in their investment strategy. This may sound trite but all too often start-ups rush to get a hedge fund in place without clearly thinking everything through.  »

Don Steinbrugge

Chapter 5: Marketing & distribution

Mon, 16/05/2016 - 13:12

A recent survey by Preqin revealed that 60 per cent of hedge funds have less than USD100 million in AUM and that only 5 per cent of hedge fund flows go to funds operating below that AUM level. »

Jack Seibald

Assess the scale of a prime broker’s operational support

Mon, 16/05/2016 - 13:15

Choosing the best prime broker to support the strategy is vital, but will depend on the manager. A portfolio manager spinning out of a hedge fund with an established track record and experience in running a pot of capital, will likely want to appoint a tier one prime broker: the likes of Goldman Sachs, Morgan Stanley; especially if they are launching with significant AUM. They may, however, look to others as an alternate, or second, prime to mitigate risk and to provide certain outsourced services. »

features

Awards

Hedgeweek Global Awards 2016

Hedgeweek Global Awards 2016

Tue, 05/04/2016 - 10:29

Special Reports

Switzerland Hedge Fund Services 2016

Switzerland Hedge Fund Services 2016

Thu, 24/03/2016 - 10:12

AIFMD Fund Services 2016

AIFMD Fund Services 2016

Tue, 08/03/2016 - 13:00

BVI Hedge Fund Services 2016

BVI Hedge Fund Services 2016

Mon, 01/02/2016 - 22:20

Cayman Islands Hedge Fund Services 2016

Cayman Islands Hedge Fund Services 2016

Tue, 26/01/2016 - 13:38

Prime Brokerage 2015

Prime Brokerage 2015

Thu, 17/12/2015 - 10:44

training
Wed, 08/06/2016   - London
Mon, 13/06/2016   - London
specialreports
other gfm publications