Businessmen who are interested in how to start an investment fund registered as a hedge fund can find out from this presentation relevant information on its structure. More details related to this subject are available at https://www.fundworld.org/.

1. A presentation brought to you by
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What is the Structure of a
Hedge Fund?
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2. Financial Tools for
Hedge Funds
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• A hedge fund is generally
represented by the same
characteristics available for
a mutual fund.
• The hedge fund can invest in
a wide category of financial
tools, such
as investments in equities,
bonds and securities.

3. The Characteristics of
Hedge Funds >>
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• One of the main concerns of
those interested in how to open
an investment fund is the legal
entity under which the fund will
operate.
• The fund is typically managed
by a fund manager and
the investors of the vehicle,
who will have the quality of
limited partners.

4. >> The Characteristics
of Hedge Funds
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• In the case of a hedge fund, most
of the investors register
the vehicle as a limited or
general partnership and this is
applicable regardless of the
jurisdiction in which the fund will
operate.
• The structure of the fund will be
comprised of a fund manager,
who will act as a general partner,
and the fund’s investors, who will
be, as mentioned earlier, limited
partners.

5. The Key Players of a
Hedge Fund >>
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• Another important aspect which
is relevant for the investors who
are interested in the procedure
on how to start a hedge
fund refers to the entities that
will be part of the investment
activities carried out within
the vehicle.
• The fund has to be represented
by a set of specific entities.

6. >> The Key Players of
a Hedge Fund
• The fund should have
an investment manager – the
person who determines the main
strategy that should be carried by
the fund and who makes
the investment decisions.
• It should also be represented by
a broker - which is usually
represented by a securities
company that determines
the amount of money used as
loans the fund can receive.
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7. Other Relevant Entities
for a Hedge Fund
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• The fund must have auditors – the
professionals who are entitled
to verify the fund’s financial
statements.
• It will need investors – the natural
persons or the legal entities that have
invested a specific amount of
capital.
• It is necessary to appoint legal
advisors – consultancy
companies and law firms that can
offer advice on the legislation
regulating the hedge fund.

8. Pool the Necessary
Capital
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• Starting a hedge fund will
require a considerable initial
capital, depending on the country
in which the fund is registered.
• For example, the regulations
available in the Netherlands can
be different than the ones
available in Luxembourg or in
other jurisdictions presented
in our magazine.

9. Eligible Investors of a
Hedge Fund
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• A hedge fund is opened to a wide
category of investors, but, in
practice, most of
the hedge funds are set up
by investors who have in-depth
knowledge of the financial
markets.
• As a general rule, the fund is
available for those who can afford
to perform investments with
a high value.

10. Business Consultancy
Services
• Our representatives can provide
further information on the structure
of a hedge fund.
• Investors can receive tailored advice
on this matter for specific
investment destinations, such as
Singapore or Hong Kong.
• Please contact us for more details
on this subject.
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11. Thank you for your
attention!
• For more information please contact us at:
office@fundworld.org
www.fundworld.org
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