Regulatory/License requirement

Discussion in 'Professional Trading' started by willrane, Mar 6, 2010.

  1. willrane


    I have been asked to manage about 50k each for 3 friends. I mainly do option trades and some futures, What are the legal requirements for creating an LLC with them as three partners and trading through that entity. The lawyers I talked to did not have clue on what is needed.

    I understand that for futures as long as you are trading for less than 15 clients and < 500K it is fine. Is a license needed for trading options?

    I went through the existing threads in this forum and could not figure out the answer. Thanks for your help.
  2. You should definitely talk to a lawyer that specializes in hedge funds and one that knows the laws of your state.

  3. probably smarter to do it through friends and family like Interactive Brokers...
  4. risky63