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81 ViewsHow much money do I need to launch a fund?
Asked on February 03, 2012 at 20h:20 pm
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February 06, 2012 at 01:15 pm
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Tim980,
Great question. There is no legal minimum that you need launch a fund. It should be enough to cover fund expenses and begin to develop a track record.
Where the minimums come into play is with investor sophistication. We would expect that your fund will rely on Regulation D in offering its securities. Regulation D generally requires that each investor be an accredited investor (generally a net worth of $1 million for individuals and $5 million in assets for entities). There may be additional qualifications that investors must meet, including qualified client and/or qualified purchaser. We recommend discussing these issues with counsel.