What are all the requirements to set an " INDIA BASED Mutual fund or Hedge Fund" in USA?

Question

I have over an decades experience in the Indian Stock Market. I wish to set either a Hedge Fund or a Mutual Fund in USA to raise money to invest in equities & derivatives.I would really appreciate if some one would guide me through the statutory procedures

Answer 1

Start with this book "How to create and manage a Hedge Fund" http://www.amazon.com/Create-Manage-Hedge-Fund-Professionals/dp/047122488X/sr=8-1/qid=1160939962/ref=pd_bbs_sr_1/104-5744211-0083124?ie=UTF8

You have to start with a business plan on how you going to make the business work.
- Who are your likely investors (individuals, financial planners, institutions, fund to funds etc)
- What would your fee structure be like for each type of investors
- What are your expenses going to be like, account for marketing, attorney, accounting, general office overhead

If you can make the numbers work and want to move ahead, here are a few things to get you started. However, I would strongly recommend you get the book.
- Decide how you organize business entities companies vs funds
- Hire attorney to work out your succession plan. In case you get hit by a car, then what happens.
- Hire attorney to develop a Private Placement Memorandum
- HIre accounting firm to audit your existing data and maybe the same firm to do your ongoing accounting
- Determine who is your brokerage and fund service firm
- Business insurance