How to create investment funds
Video: Starting An Investment Fund - Here Are The Ground Rules 2024, July
An investment fund is a form of joint activity in which several investors join together and invest money in the same means of generating income: stocks, bonds, deposits, etc. How to create such a fund, and what is its advantage?
Instruction manual
1
Decide on the type of future investment fund. In the Russian financial system, mutual investment funds (UIFs), in which a large number of investor-shareholders entrust their funds to a management company, are most widely used. Shareholders themselves do not take part in money management, and the company, in turn, does not receive profit from fund management. She only receives a certain reward for providing services. The amount of such remuneration is fixed in advance in the contract.
2
The peculiarity of creating a mutual fund is that it will not be a legal entity. This suggests that its registration is made on a contractual basis. Develop a contract. This is a set of rules for managing an investment fund, which should be registered with state bodies.
3
Join future shareholders to the created agreement. This can be done by filing standard applications for joining the mutual fund and making property to pay for the share.
4
Further, the management company issues investment units and performs the necessary registration procedures that complete the process of creating the fund.
5
After the creation of the mutual fund, all the affairs of the fund are transferred to the hands of the management company, which carries out only management functions.
Useful advice
A unit investment fund may be open, closed and interval. In the first case, each shareholder can at any time convenient for him to pay off his share and get out of business. Interval fund involves the presentation of the share for redemption only during the interval, which is established by the rules of the fund. Closed mutual funds are characterized by a collegial form of management and a relatively small number of shareholders. The advantage of mutual funds of any kind is their great reliability and guarantee of return on invested funds. Mutual funds of UIFs are controlled by the state, therefore, not a single case of loss of money and fraud of shareholders has yet been registered.
