Negotiation of Terms, as a new Hedge Fund Marketer. What to ask for?
Hi all, I recently landed myself a marketing and sales position with a small global macro fund in Asia. Despite its size (BB.
As you can see, my qualifications are lacking, but I learn quickly, and I think I can succeed in raising some money for the fund. I can find very little information online pertaining to my situation, and as such I seek your kind input on the following questions so I can make him a fair offer:
1) What is a reasonable amount of money to raise in a year? I have a few personal HNWI contacts (averaging $5MM in net worth), and I'm planning to reach out to them, and then their friends, and friends of those friends... Is this a workable strategy?
2) I read that private placement agents are usually compensated 2~3% on capital raised. (I looked at private placement agents rather than third-party marketers because I don't provide any marketing services.) Is it realistic to ask for the same? Given my unique situation, should I be asking for more or less than that? Or should I be asking for a base salary, plus a less generous commission?
3) Should I ask for an expense account so that I may have more success converting investors? What is a reasonable amount to ask for?
4) What other considerations are there in a private placement-hedge fund agreement? I know that some of them include investors increasing their investment sizes, investors referring other investors... But is there a time limit on how long after my last contact with these investors that these changes in investment sizes can be credited to me?
5) Any other advice or considerations that I may have missed out and that you may care to give.
Thank you.
Est culpa possimus consequatur vel expedita animi. Laboriosam officia libero est. Saepe officiis quisquam harum eligendi voluptas itaque est. Commodi quos officiis nihil voluptatum temporibus.
Repudiandae odit consequuntur non repudiandae aliquam sit nulla. Fuga sint quia architecto.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...