i talked with my investor, and he made some very logical points about incentives that i had not thought about. we decided on a flat 20%.
perhaps in a year if i perform well, i'll start a capital raising and work thru this issue with new investors...but for a 1st investor, i can't argue with...
hey guys, thanks for the responses...these are a few things i hadn't thought of deeply enough from the investor perspective.
1) add a high water mark (goes without saying)
2) add a benchmark hurdle (10%) to justify the risk vs reward profile
i asked for feedback because i told my...
I have a few people interested in me trading their accounts in the IB separate managed account structure...sortof like a hedge fund...but in the SMA structure (people are deftly afraid of fraud and liquidity these days...and i suppose i don't blame them).
Anyway...assuming i go the IB SMA...