Professional Trader Status - question with personal accounts

Discussion in 'Professional Trading' started by LiquidMike, Feb 29, 2024.

  1. thanks - that answered it. ha
     
    #11     Feb 29, 2024
  2. Robert Morse

    Robert Morse Sponsor

    I asked my two questions, because if the investors are all US persons, no advantage to a foreign locale. And, if the entity is just for those investors, the hedge fund structure is not required.

     
    #12     Feb 29, 2024
  3. ahh.. ok - it's offshore so I don't need an SEC license and then also I have investors in China as well potentially.

    But I'm looking more to setup my bot strategies and let them run and don't necessarily want to go to "professional status"; so now looking/thinking of how to circumvent that process... so maybe speak to existing seed hedge funds that handle everything.. not sure - any thoughts? :)
     
    #13     Feb 29, 2024
  4. Robert Morse

    Robert Morse Sponsor

    This Pro-status is just for market data fees. You will be Pro anyway. The entity and trading others money.

     
    #14     Feb 29, 2024
  5. lindq

    lindq

    Put your focus not on what's easy or convenient, but what structure will best protect you legally, in worst-case-scenarios.

    Imagine the worst that can happen, because when it involves OPM, it probably will.
     
    #15     Feb 29, 2024
    Quanto, MACD, schizo and 1 other person like this.
  6. newwurldmn

    newwurldmn

    Avoiding paying a grand/year for professional data fees is the worst optimization here.

    With oversee investors and off shore entities, your legal and accounting bills will dwarf that.

    People don’t start hedge funds just to trade. They start hedge funds to run a business managing people’s money.

    you trade options. My OPRA market data bill is like 22/month. My NYSE (covers all stocks) is like 68.
     
    #16     Feb 29, 2024
    FSU likes this.
  7. mervyn

    mervyn

    fiduciary responsibility, people just don't understand that, only wanna be.
     
    #17     Feb 29, 2024
  8. prc117f

    prc117f

    If you are doing well why do you want all those headaches? Just trade your own capital and earn your living that way.
     
    #18     Apr 19, 2024