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For the benefit of anyone interested: I was able to confirm with IB support that when using an Advisor account(aka RIA/IAR account) with managed accounts/client accounts at Interactive brokers, there is NO option to avoid disclosing full trade history to clients. All trades are transparent to...

Another possible strategic difference: 5) A hedge fund could theoretically avoid disclosing exact trade history, and therefore could have an easier time keeping strategies confidential if needed. With an RIA, trades occur in the client account so I am unaware of a way that an RIA could keep...

Cyrix, > 1) One thing unclear to me is why you didn't choose route 1, the RIA route. > 2) [Does being an RIA] require less administrative work/costs than a hedge fund? At first, I was where you are now, exploring which routes to take, so I chose to explore both to some degree. After I started...

Hi Cyrix, Our own situation is likely unusual and probably would not apply well to most other investors. I'll update on our status anyway, and offer some info and references on how one may be able to legally charge investing fees. (Since that was the original thread question from a few years...

Update: It turns out that a separate IB account will probably not work as a cash management account for a hedge fund. The problem is that IB requires that the destination of outgoing wire transfers must be to accounts owned by the same company who owns the IB account. This would prevent an...

Thanks all for mentioning a second IB account as a potential option for a cash management account for an IB hedge fund. Even though IB accounts are not technically a bank account (it's a brokerage account), it turns out that distinction does not matter much. I'm working on setting up an IB...

@DeltaRisk IB is the prime broker for the fund. I'm looking at using a separate IB account for the NAV consulting banking purpose if possible. Like an IB linked account or IB small business account owned by the hedge entity. I'm not sure which IB account type would be preferable yet.

@Stocktracker Ah, Thank you! Yes, big task. But I'm used to the trading parts, and I imagine the fund administrator will help much. : )

>Good luck with your hedge fund, I think you gone need it! @Stocktracker If I may ask, is that because of my inexperience with the administration and paperwork aspects of a hedge fund, or another reason?

For anyone in the future who might want to know what solutions were found: It turns out that Fidelity offers a business checking account currently called "Fidelity account for Business". Incoming wire transfers are free, outgoing domestic are $10 each. All transfers can be performed online, no...

Hi Just21, The question is for a bank account, not a brokerage account. (Unless IB does offer "bank-like" accounts and I didn't know?)

Thanks everyone for your administrator recommendations. I've engaged NAV consulting for the administration. The setup process has brought up another question though. NAV requires that if the fund is using NAVs dual-account control service, all bank transactions be done by wire. For the bank I...

Hello all, My new hedge fund was recently approved, and I've hired NAV consulting for the administration. In order to use NAVs dual account control service, NAV says that all transactions including small amounts, and the monthly NAV service fees, must be made as wire transfers. They didn't...

Thanks for the responses so far. The names I've collected are: NAV Consulting, Citco, Apex Fund Services, and Opus Fund Services. I have not yet begun research on any of these companies, just gathering names. Any thoughts on these? The hedge is a startup fund, with lower AUM. I don't know if...

Robert, Do you recommend any service providers that I should look at?

> truetype said: You don't specify what instruments you trade, I trade ETFs almost exclusively. Things like SPY, QQQ, IEF, etc.

wintergasp, Do you recommend a particular external administrator? Thanks. -Jay77

Hello hedge fund (or other pooled investment) Managers, I recently started my companies first hedge fund, and will be opening the fund to external shareholders shortly. I need to transition our accounting practices from investing only for family, to investing for multiple shareholders. What...

Follow up (FYI): I spent some time on the phone with the California Department of Business Oversight. They explained that every advisor is considered to have -some- place of business. (Even if they are not meeting clients in their home, or giving verbal advice.) So the fact that I am a resident...

Hello Bob, Thank you for the useful reference. Yes, section 25202 is the state-level exemption I claimed for myself. Although my home is in California, the SEC has published a specific definition for a "place of business" within the context of investment advisers. § 275.203A-3 Definitions. (b)...