None needed. I think that's only if you want to register with the SEC and you intend to have over 100 members.
What are the costs of setting up a hedge fund? Prae, did you thought about being employed by some Fund or Asset Management firm?
Corso- It's open to any investor with the minimum 25k investment. That 25k minimum doesn't apply to friends and family though. It is meant to be a fund for any investors, but one the the principle reasons I opened it was that I've been inundated with requests from friends and family who want me to manage their money since they've gotten raped by the "professionals" during the last year. Unfortunately, most of them are not wealthy, and managing their money will probably be a money loosing proposition, at least until I can grow their accounts larger. I'm hoping to attract larger investors mainly though. So far I've attracted a few in the 100k+ range, but not as many as I had hoped. Hopefully, the fund's returns will bring in new investors eventually. DT- I have not yet completed the setup of the fund. I have been quoted a "fair price," and I trust the people involved, so I'm continuing to pay $500 retainers every few weeks, and so far it has not been too much money. I assume that in the end it is 5-10k. Don't forget that it's more important to pay a bit more, but get it done right. I had thought of getting employed by someone, but the offers I received weren't for enough money. I also wanted complete autonomy. I would hate to not be able to do what I do and how I do it. I much prefer being my own boss and being allowed to trade what I want. It also lets me hire some of my friends eventually.
Aaron and Praetorian2, I have 25k that you guys can trade if you can give me an 80% return every year. Let me know.
http://www.seclaw.com/docs/998hedgefund.htm http://www.seclaw.com/centers/lawcent.shtml (scroll to bottom of page)