Have you ever thought of this? Most times, it seems a harduous task, but knowing where to go and how to go about it makes it one of the simplest things to do on earth. But you have to obey some rules.
The best way to make money is through the internet. Dont be surprised, with a click of the mouse, some people make money just because you are surfing the net. However, they have also given the opportunity to you to make the money as they are making it so that everybody is happy. I will take you through some of the ways
1. Being an ecommerce broker: A commerce broker is one who likns buyers and sellers of goods and services together. He does that and charges commission. However, the internet has made it easier as he can do that online just like he will do it offline. It involves knowing the rudiments of business, being able to know about the goods you are brokering and having the right attitude towards business, you must be able to convince your buyers or sellers. You can be a commodity broker ie for food, raw materials and so on, you can be a financial broker dealing with bank instruments, loans and financial services and so on. A broker is like a middleman in these businesses. You must be trustworthy also. In order to start, join an ecommerce site where buyers and sellers post their needs and then you can email them or call and start off the business. You can have a one on one teaching of ecommerce from me via yahoo messenger and so on. However you pay for my services.
More to come
Tuesday, May 22, 2007
KEY ADVICE FOR THE WEEK
You are not the only one in that problem, some have been in greater problems than that of your own and they have conquered it. So far, you have life, then you will overcome the problem for sure.
Pursue what your heart desires this week and it will be yours.
Be optimistic about life
Life is spiritual, therefore believe in it and yourself and things will work out like magic
It takes persistence and patience to understand and see the magic of life, therefore persevere.
I believe in God, I dont know about you, if you dont, please give me 10 reasons why you would not believe that? Free to comment
GOD is good, it seems He has not answered you. Well, that is how He works, He is always looking for ways to make you happy, dont worry He will do it, He has done it for me before and still does it.
From Kayode Jegede
Pursue what your heart desires this week and it will be yours.
Be optimistic about life
Life is spiritual, therefore believe in it and yourself and things will work out like magic
It takes persistence and patience to understand and see the magic of life, therefore persevere.
I believe in God, I dont know about you, if you dont, please give me 10 reasons why you would not believe that? Free to comment
GOD is good, it seems He has not answered you. Well, that is how He works, He is always looking for ways to make you happy, dont worry He will do it, He has done it for me before and still does it.
From Kayode Jegede
CHECK OUT WHO YOU ARE
You are great and unique
You are privileged to be alive
You have hope
You will surely make it in life
You have talents
You can be the richest if you want to
You can do anything you dream of
You are the best in the world
You can overcome any problem
This is who you are
You are privileged to be alive
You have hope
You will surely make it in life
You have talents
You can be the richest if you want to
You can do anything you dream of
You are the best in the world
You can overcome any problem
This is who you are
Saturday, May 19, 2007
Business opportunities in canada
CANADA is one of the countries with the strongest backing for their businessmen. They have funding available for their exporters in such a way that, importers will be greatly and efficiently catered for, so far you are importing from Canada, you are entitled to some grants or loans provided you have the required documentations which are not stressful for a conventional businessman. However, many of the Canadian exporters may ne ignorant of this, so read this and tell them when dealing with them especially if you need your money fast.
Some organizations in the export industry of Canada can lend to any buyer of Canadian goods and/or services for a transaction thatclearly demonstrates economic benefits for Canada. In addition, the foreign company must have been in business for at least two years, and have a proven financial track record with positive cash flow and a healthy balance sheet. To assess a financing proposal, This requires specific documentation.
Qualification Criteria These export oriented agencies can work with a company of any size, operating in any economic sector anywhere in Canada. EDC financing is generally available for export contracts covering capital goods, quasi-capital goods or certain related services.
Cost These export oriented agencies offers competitive rates to borrowers based on credit quality, general market conditions, and the length of repayment terms being considered. An exposure fee may be charged in connection with our export financing, consistent with OECD regulations.
Lines of Credit
These export oriented agencies in Canada provides lines of credit to foreign companies that intend to repeatedly buy goods or services from Canadian companies and to foreign banks or intermediaries that onlend money to buyers of Canadian goods and services.
Various line of credit structures can be arranged by these export oriented agencies and a foreign customer, bank or international intermediary.
Top
Qualification CriteriaTo have your company’s financing proposal assessed, you must submit a set of documentation to these export oriented agencies . Export transactions must demonstrate clear economic benefits to Canada in order to qualify.
These export oriented agencies have Equity Investments allow Canadian companies to leverage EDC’s access to a unique combination of financial tools, expertise and international networks, and acquire the private equity and venture capital to grow their export business.
Business Benefits
Staying power: These export oriented agencies ’ investment capacity, strong balance sheet and diversified operations give Canadian companies confidence in the stability of their operations in challenging market circumstances.
Value-added partnership: These export oriented agencies ’ in-depth knowledge and experience help Canadian enterprises identify and mitigate financial, economic and political risks; analyze market data; and access a global network of trade partners.
Flexibility: These export oriented agencies has the flexibility to provide financing solutions tailored to the needs of small and medium enterprises.
Enhanced capital structure: These export oriented agencies supplements private and public sources of capital, helps to diversify a company’s investor base, and enhances overall capital structures.
Coverage DetailsQualification CriteriaMore informationCoverage DetailsEDC engages in both direct and indirect equity investments.
Direct investments:
Investment in small and medium sized Canadian companies
Investment in foreign companies and foreign projects involving cross-border ownership structures and/or critical supply of Canadian goods and services
Indirect investments:
Partnering by way of investment in professionally managed venture capital funds that, in turn, invest in entrepreneurial Canadian companies
All investment activity is subject to the Export Development Canada Exercise of Certain Powers Regulations.
TopQualification CriteriaTo qualify for these Equity Investments by these export oriented agencies , applicants must fulfill certain information requirements and investment criteria.
Information requirements:
a business plan or information memorandum
a copy of the proposed investment terms and conditions (if available)
identification of other key parties, including other potential equity investors, strategic alliances, debt providers, and project sponsors (if applicable)
copies of relevant commercial documentation
Investment criteria:These export oriented agencies uses specific investment criteria when assessing potential Direct Investments and Indirect Investments. Proposals that fall outside of these criteria are considered at these export oriented agencies' discretion. Emphasis is placed on investments that reflect strong export orientation and have the potential to generate economics benefits to Canada of twice the original investment.
Investments in Canada
These export oriented agencies supports foreign investment in Canadian companies and business ventures with a range of financing solutions and extensive trade experience.Business Benefits
Industry savvy: Foreign investors benefit from these export oriented agencies ’ risk assessment expertise in a full range of industry sectors.
Networking: Investors gain access to these export oriented agencies ’ extensive international banking networks and arrive at workable solutions to their financing needs.
Coverage DetailsCoverage DetailsEDC offers a range of financing solutions to suit investments of varying types and sizes as well as different business strategies, industry sectors and markets. Foreign investors considering business expansion within Canada should contact these export oriented agencies early in their planning to discuss financing options.
Qualification CriteriaThese export oriented agencies assesses the merit of involvement based on the increase in Canadian exports to be derived from the deal. Additional criteria apply:
The investment must support an export-related transaction.
Export contracts must be in-hand; investments may not be idle.
The investment should enhance the market position of the Canadian company by improving channels of distribution, increasing R&D in Canada, enhancing profitability and competitiveness, and/or creating and maintaining jobs.
Assessment for financing requires submission of certain documentation along with a copy of the business plan.
CostEDC works with Canadian financial institutions to arrange the financing. Competitive market-based pricing is negotiated with the lender(s).
This is just one of the many ways by which a buyer can be financed instead of waiting long time before he gets paid by the Canadian company you are dealing with. Therefore, in order to make good use of this service, what you do is
1. When dealing with a Canadian company, tell him that you will want payment via those export oriented agencies since you have fulfilled the condition by buying an export related canadian good from him.
2. After the Canaadian company says you should go ahead, then you send your proposal to the export oriented agencies to review.
3. After the review, they will tell you what you need to do, and then the financing can be arranged accordingly going by the agreement you make after their reviewing of your proposal or business plan.
We also have this type of financing for buying US goods. You can have access to these info by special request. These information includes Factoring processes. This information are helpful to brokers as well as buyers who may not have enough funds to buy these goods especially after tendering a genuine reason one way or the other. Brokers can make good use of this info to get more sellers or buyers since the financing aspect has been taken care of and the brokers can quickly get his pay so far, the financing of the deal is readily available through these export oriented agencies in the US, Canada and so on as said.
Some organizations in the export industry of Canada can lend to any buyer of Canadian goods and/or services for a transaction thatclearly demonstrates economic benefits for Canada. In addition, the foreign company must have been in business for at least two years, and have a proven financial track record with positive cash flow and a healthy balance sheet. To assess a financing proposal, This requires specific documentation.
Qualification Criteria These export oriented agencies can work with a company of any size, operating in any economic sector anywhere in Canada. EDC financing is generally available for export contracts covering capital goods, quasi-capital goods or certain related services.
Cost These export oriented agencies offers competitive rates to borrowers based on credit quality, general market conditions, and the length of repayment terms being considered. An exposure fee may be charged in connection with our export financing, consistent with OECD regulations.
Lines of Credit
These export oriented agencies in Canada provides lines of credit to foreign companies that intend to repeatedly buy goods or services from Canadian companies and to foreign banks or intermediaries that onlend money to buyers of Canadian goods and services.
Various line of credit structures can be arranged by these export oriented agencies and a foreign customer, bank or international intermediary.
Top
Qualification CriteriaTo have your company’s financing proposal assessed, you must submit a set of documentation to these export oriented agencies . Export transactions must demonstrate clear economic benefits to Canada in order to qualify.
These export oriented agencies have Equity Investments allow Canadian companies to leverage EDC’s access to a unique combination of financial tools, expertise and international networks, and acquire the private equity and venture capital to grow their export business.
Business Benefits
Staying power: These export oriented agencies ’ investment capacity, strong balance sheet and diversified operations give Canadian companies confidence in the stability of their operations in challenging market circumstances.
Value-added partnership: These export oriented agencies ’ in-depth knowledge and experience help Canadian enterprises identify and mitigate financial, economic and political risks; analyze market data; and access a global network of trade partners.
Flexibility: These export oriented agencies has the flexibility to provide financing solutions tailored to the needs of small and medium enterprises.
Enhanced capital structure: These export oriented agencies supplements private and public sources of capital, helps to diversify a company’s investor base, and enhances overall capital structures.
Coverage DetailsQualification CriteriaMore informationCoverage DetailsEDC engages in both direct and indirect equity investments.
Direct investments:
Investment in small and medium sized Canadian companies
Investment in foreign companies and foreign projects involving cross-border ownership structures and/or critical supply of Canadian goods and services
Indirect investments:
Partnering by way of investment in professionally managed venture capital funds that, in turn, invest in entrepreneurial Canadian companies
All investment activity is subject to the Export Development Canada Exercise of Certain Powers Regulations.
TopQualification CriteriaTo qualify for these Equity Investments by these export oriented agencies , applicants must fulfill certain information requirements and investment criteria.
Information requirements:
a business plan or information memorandum
a copy of the proposed investment terms and conditions (if available)
identification of other key parties, including other potential equity investors, strategic alliances, debt providers, and project sponsors (if applicable)
copies of relevant commercial documentation
Investment criteria:These export oriented agencies uses specific investment criteria when assessing potential Direct Investments and Indirect Investments. Proposals that fall outside of these criteria are considered at these export oriented agencies' discretion. Emphasis is placed on investments that reflect strong export orientation and have the potential to generate economics benefits to Canada of twice the original investment.
Investments in Canada
These export oriented agencies supports foreign investment in Canadian companies and business ventures with a range of financing solutions and extensive trade experience.Business Benefits
Industry savvy: Foreign investors benefit from these export oriented agencies ’ risk assessment expertise in a full range of industry sectors.
Networking: Investors gain access to these export oriented agencies ’ extensive international banking networks and arrive at workable solutions to their financing needs.
Coverage DetailsCoverage DetailsEDC offers a range of financing solutions to suit investments of varying types and sizes as well as different business strategies, industry sectors and markets. Foreign investors considering business expansion within Canada should contact these export oriented agencies early in their planning to discuss financing options.
Qualification CriteriaThese export oriented agencies assesses the merit of involvement based on the increase in Canadian exports to be derived from the deal. Additional criteria apply:
The investment must support an export-related transaction.
Export contracts must be in-hand; investments may not be idle.
The investment should enhance the market position of the Canadian company by improving channels of distribution, increasing R&D in Canada, enhancing profitability and competitiveness, and/or creating and maintaining jobs.
Assessment for financing requires submission of certain documentation along with a copy of the business plan.
CostEDC works with Canadian financial institutions to arrange the financing. Competitive market-based pricing is negotiated with the lender(s).
This is just one of the many ways by which a buyer can be financed instead of waiting long time before he gets paid by the Canadian company you are dealing with. Therefore, in order to make good use of this service, what you do is
1. When dealing with a Canadian company, tell him that you will want payment via those export oriented agencies since you have fulfilled the condition by buying an export related canadian good from him.
2. After the Canaadian company says you should go ahead, then you send your proposal to the export oriented agencies to review.
3. After the review, they will tell you what you need to do, and then the financing can be arranged accordingly going by the agreement you make after their reviewing of your proposal or business plan.
We also have this type of financing for buying US goods. You can have access to these info by special request. These information includes Factoring processes. This information are helpful to brokers as well as buyers who may not have enough funds to buy these goods especially after tendering a genuine reason one way or the other. Brokers can make good use of this info to get more sellers or buyers since the financing aspect has been taken care of and the brokers can quickly get his pay so far, the financing of the deal is readily available through these export oriented agencies in the US, Canada and so on as said.
SECRETS OF BECOMING A PPP/HYIP TRADER 1
PPP means :Private Placement Program while HYIP means :High Yield Investment Program.
With the increase in the volume of trade in the world economy due to emergence of stronger
National economies and increase in world population, there is a need for the rise in the involvement of financial institutions since they are agents of settlement of debt in trade. They are however to provide shock absorbers to these large trades between these emergent strong economies. As a result, they resulted to the more use of credit enhancements
which are bank instruments. Though, these have been in existence for long, but it is now more prominently used than it was before.
Large scale businesses use credit enhancements more and that is the reason for high demand of
credit enhancements as bank instruments and the use of experts on bank instruments. The use takes the form of leasing, buying, and selling thereby inevitably using the services of Lessors by lessees, Sellers as well as buyers. We have the following types of credit enhancements.
1. BG - Bank Guarantee
2. MTN - Medium Term Note
3. SBLC - Standby Bank Letter of Credit
4. L/C - Letter of Credit
5. Bonds - Could be corporate bonds i.e issued by Corporations, Government bonds, Performance bonds, Treasury Bonds
which are also government bonds mostly administered by the Treasury or the Central Bank or Federal Reserve of the country.
6.Foreign Currency (Strong Currencies) such as the United States Dollars (USD), Great Britain Pounds, , Euro, Japanese Yen, Chinese
Yuan, Swiss Francs(CHF) and so on.
7.Appraised Landed or Real Estate
8.Appraised artworks (Artwork are appraised by considering the years of existence and the artist that created it)
9. SKR (Safe Keeping Receipt) for Jewelleries, Precious stones, gold, diamond, Platinum
10. Cash
11. Line of Credit or Credit-line
All these are exchanged for credit and settlement of debt
HOW IT IS DONE
The trade for these instruments are conducted mainly as you would conduct a business which we all know here. Procedures given by either parties that is between Lessor and Lessee, buyer and seller must be followed in order to close deals.
Banks are ready to issue BGs to individuals and corporations but the individual or corporate must have been found worthy by the bank and have a credit standing with the bank. The person might have been using the bank for long so that the bank can stand for any day and anytime. With this condition, the bank can issue Bank guarantees for such people. Corporations can also issue bonds
provided they have a very strong bank account balance. The instruments are used for payment of goods and services especially when the cash to be used is not readily available and since business is very unpredictable, one cannot wait till he has the cash to get what he needs at that particular time, therefore the use of bank guarantees or credit enhancement becomes inevitable.
Bank Guarantees are usually used as collaterals to get loans from Financial Houses, Banks and Private Lenders. They are used to give line of credit.
Most individuals are not able to have bank guarantees issued to them but it is only few individuals that are able to. But one can act as mandate for these few individuals and can conduct businesses on their behalf. So almost anybody with at least any business ideas can enter into this trade so far the rules and procedures are followed.
SECRETS OF PPP/HYIP are usually done using credit enhancements. This will be explained using figures and examples. A BG which has 100 million USD face value was leased at 10% of face value that is paying 10 million USD for 100 million USD worth for one year. He gets the BG and gets a credit line against it from a Bank or from other private sources such as finance houses, wealthy individuals and Hedge funds. At least a credit line of 80% of BG value will be granted which can be used in form of a loan.
At the end of this chain of transaction, we use the 10 million USD to get 80 million USD that is 800% gain. Though for the main time, it is like a loan in which you made an equity contribution towards. Since a large amount of money has come in as profits, then this can be put into large volume trade to yield more. This is just the secret.
With the increase in the volume of trade in the world economy due to emergence of stronger
National economies and increase in world population, there is a need for the rise in the involvement of financial institutions since they are agents of settlement of debt in trade. They are however to provide shock absorbers to these large trades between these emergent strong economies. As a result, they resulted to the more use of credit enhancements
which are bank instruments. Though, these have been in existence for long, but it is now more prominently used than it was before.
Large scale businesses use credit enhancements more and that is the reason for high demand of
credit enhancements as bank instruments and the use of experts on bank instruments. The use takes the form of leasing, buying, and selling thereby inevitably using the services of Lessors by lessees, Sellers as well as buyers. We have the following types of credit enhancements.
1. BG - Bank Guarantee
2. MTN - Medium Term Note
3. SBLC - Standby Bank Letter of Credit
4. L/C - Letter of Credit
5. Bonds - Could be corporate bonds i.e issued by Corporations, Government bonds, Performance bonds, Treasury Bonds
which are also government bonds mostly administered by the Treasury or the Central Bank or Federal Reserve of the country.
6.Foreign Currency (Strong Currencies) such as the United States Dollars (USD), Great Britain Pounds, , Euro, Japanese Yen, Chinese
Yuan, Swiss Francs(CHF) and so on.
7.Appraised Landed or Real Estate
8.Appraised artworks (Artwork are appraised by considering the years of existence and the artist that created it)
9. SKR (Safe Keeping Receipt) for Jewelleries, Precious stones, gold, diamond, Platinum
10. Cash
11. Line of Credit or Credit-line
All these are exchanged for credit and settlement of debt
HOW IT IS DONE
The trade for these instruments are conducted mainly as you would conduct a business which we all know here. Procedures given by either parties that is between Lessor and Lessee, buyer and seller must be followed in order to close deals.
Banks are ready to issue BGs to individuals and corporations but the individual or corporate must have been found worthy by the bank and have a credit standing with the bank. The person might have been using the bank for long so that the bank can stand for any day and anytime. With this condition, the bank can issue Bank guarantees for such people. Corporations can also issue bonds
provided they have a very strong bank account balance. The instruments are used for payment of goods and services especially when the cash to be used is not readily available and since business is very unpredictable, one cannot wait till he has the cash to get what he needs at that particular time, therefore the use of bank guarantees or credit enhancement becomes inevitable.
Bank Guarantees are usually used as collaterals to get loans from Financial Houses, Banks and Private Lenders. They are used to give line of credit.
Most individuals are not able to have bank guarantees issued to them but it is only few individuals that are able to. But one can act as mandate for these few individuals and can conduct businesses on their behalf. So almost anybody with at least any business ideas can enter into this trade so far the rules and procedures are followed.
SECRETS OF PPP/HYIP are usually done using credit enhancements. This will be explained using figures and examples. A BG which has 100 million USD face value was leased at 10% of face value that is paying 10 million USD for 100 million USD worth for one year. He gets the BG and gets a credit line against it from a Bank or from other private sources such as finance houses, wealthy individuals and Hedge funds. At least a credit line of 80% of BG value will be granted which can be used in form of a loan.
At the end of this chain of transaction, we use the 10 million USD to get 80 million USD that is 800% gain. Though for the main time, it is like a loan in which you made an equity contribution towards. Since a large amount of money has come in as profits, then this can be put into large volume trade to yield more. This is just the secret.
about hede funds
Hedge fund is an invsting group especially in form of a limited partnership that employs speculative techniquesin obtaining large capital gains.Hedge fund is a management outfit which sees to managing investors money by doing business with it after conducting market researches to minimize loss to the bearest minimum. It is asource for lending to borrowers, for buying or obtaining credit enhancements and finance large scale projects with a view of making large turnouts of profits.Hedge funds have been beneficial to the world financial markets as well as transactions, many large international corporations make use of Hedge funds to finance major projects most especiallyinvestments such as acquiring company shares, acquiring existing corporations for merger and also cushioning the effect of the world trade deficit and so on.Hedge Funds have been found to be very useful and accessible by all and sundry taking note of experience as brokers, sellers, buyers, lenders, borrowers, portfolio managers of financial instrumentsand credit enhancements.As you know, businesses have perculiar procedures which are mostly very likely with almost all businesses. This also explains the fact that there are procedures for getting into the activities of Hedge Funds as stakeholders and players.
The following are some of world’s largest Hedge Funds and Portfolio management corporations. You can eneter their websites, surf it andread their procedures for doing business with them and contact them too.
In reality hedge funds are loosely regulated private pool of money which invests in all kinds of “legal investments” to maximize the returns. It can be equities, futures, currencies, commodities, bonds, real estate and even they invest in “Weather Derivatives” (betting on weather conditions) or even seed capital start-up companies like private equity / venture capital funds. Unlike mutual funds, hedge funds have no restrictions on “where” they could invest or “in what” they could invest in.Number of hedge funds has grown rapidly in the past few years to more than 10,000 funds all around the world and total assets of more than a trillion dollars. Closedown / failure rates of hedge funds are very low compared to the start-up of new hedge funds. With startup / seed capital from their own pocket and with a Bloomberg terminal, more people are starting hedge funds. Most of them are former brokers, asset managers or traders in big investment banks / brokerages who had already managed money for high-net-worth clients. But to become a successful hedge fund, they need to raise capital of at least 40 million, follow a disciplined investment process with a high focus on risk management controls and make a decent return of 8% or more in the first year of operation.The boom in hedge fund launches has benefited the service providers the most. Companies providing start-up and compliance services, prime brokers, administrators, auditors, legal service provider’s, third-party marketers, IT and technology consultancies, risk management and research consultants are making a fortune out of it. The minimum startup / launching cost could come around $300-500K and the service providers benefits the majority of it.The equity long-short strategy with a long-bias is the most common hedge fund strategy used, other strategies like CTA / managed futures, global macro, distressed debt securities, fixed income are also common. Whatever the strategy, most funds profits from the price difference in stocks, futures, options, bonds, commodities, currencies / forex and other forms of derivatives. Other hedge funds uses event-driven / special-situations style which exploit the financial situations of companies during mergers, acquisitions, takeovers, bankruptcies or political changes in some countries.When the market become crowded, some fund managers uses very different strategy approach like giving bank loans, funding research in healthcare, pharmaceuticals and biotech companies, aircraft leasing, investing in retail business, invest in alternative fuel production like ethanol biodiesel, etc. The basics is that, hedge funds invest in areas where they see the opportunity of making money and successful hedge funds are the one who identify and utilize these opportunities in early-stage and cash-in before it becomes overcrowded.Aggressive hedge funds will give high returns in a short time but high risk is also involved. Most common hedge fund statistics to measure / calculate risk/return are sharpe ratio, sortino ratio, calmer ratio, sterling ratio and treynor ratio. Other common statistics are annualized return, standard deviation, downside deviation, alpha, beta etc.Most of the United States hedge fund companies are based (head office location) in tri-state area (New York, New Jersey and Greenwich - Connecticut) but list of hedge funds in other cities like California, Chicago, San Francisco, Dallas and Boston are also growing. Major centers in Europe are London, Italy, France, Russia and Switzerland and leading the pack in Asia-pacific and other emerging markets are Japan, Hong Kong, Singapore, Australia and Brazil.Investments in hedge funds are highly risky; you could even loose your whole investment if the fund manager’s bet goes wrong. Few examples, In September 2006 two top ranking energy hedge funds betting on energy futures on oil and natural gas lost around 5 billion US dollars, one of the fund even lost the whole investment. In 2005 one of the Singapore’s biggest global macro hedge fund betting on derivatives in Korean market lost around 20 million in a single trade. In 2005 a commodities / futures brokerage hid millions in losses leading to near collapse of the firm. And the list is continually growing.Hedge fund frauds are also common in the industry; lack of not doing proper due-dilligence process is the main reason. Managers who claim guaranteed capital protection with high returns within a short period of time or promising very high returns with a new strategy, etc are the ones you should lookout for.SEC (Securities and Exchange Commission) in US and FSA (Financial Services Authority) in UK and other regulatory authorities in Asian, European and Latin American countries has come up with a restriction that only wealthy / high net worth investors like accredited investors and family offices and institutional investors like private banks, pension funds, endowments, insurances etc can invest in hedge funds so as to protect the ordinary / small investors from loosing money investing in hedge fudns.Hedge funds also have a restriction on minimum investment amount an investor can invest, generally small-cap and mid-cap hedge funds will have a minimum deposit size of 100,000 US$ to 250,000 US$ and large funds with billions of dollars in assets under management (AUM) have anywhere from 500,000 USD to 5 Million USD and some have a lock-up period also, which lock the investment for 1-2 years.Hedge funds have two kinds of fees, management fee that you have to pay as long as the hedge funds are managing your money, it’s usually 1%-2% of the asset, paid annually. Performance fee which will be 20% of the return the manager make from your asset, most managers also maintain a “high-water-mark”, which means you don’t have to pay incentive fee if the return falls below the previous highest return and a “hurdle rate”, a minimum return the hedge fund manager must make before charging performance fee.Hedge funds are prohibited from soliciting or advertising to a general audience through websites / internet, cold calling or other advertising media. So, hedge fund conferences, forums and seminars are popular as it provides networking opportunity for the managers and the investors and the event management companies are organizing more conferences every year due to the increasing demand. Prime brokerage firms hosting capital introduction meetings / road shows are also gaining popularity.As hedge funds cannot advertise itself, their websites should be password protected and allow only qualified clients who fill up proper questionnaire. All the incoming and outgoing emails and all other electronic communications between the hedge fund firm’s employees and the investors must be stored in secured servers and are subjected to regulatory verifications if needed.Offshore hedge funds are funds which are domicile / registered in offshore / international financial centers like Cayman Islands, British Virgin Islands, Mauritius and Hong Kong in Asia. These funds are not subjected to SEC, FSA or other financial regulatory authority regulations and provide a lot of tax advantages.Hedge fund managers and hedge fund analyst gets one of the best salary in the financial industry. Top managers are paid in millions and you can see few managers in the forbes list of richest Americans. Because the salaries in hedge fund industry are the highest, even entry-level jobs are very popular and have lot of competition among the employment seekers. Hunting for best talents is also a difficult task for the hedge fund recruiters.Success of a hedge fund is depended on the quality of the manager, so an investor should do a proper due-diligence process and investigate track records of the manager before investing in a hedge fund. Also you must read carefully the offer documents, marketing and reporting materials provided by the manager like the private placement memorandum (PPM), DDQ’s, presentations, prospectus, subscription agreements, etc which contains the fund’s strategy, specific market risk involved and other practices which the advisors follow, frequency of fund performance (NAV, RoR) reporting, whether market research is done internally or outsourced, contact details of hedge fund managers and service providers, investor and personal references etc.
HEDGE FUNDS YOU CAN ANNESS
Greenwood Capital Associates LLC.City of London Investment Management, SingaporeBaring Asset ManagementRichelieu Finance, FranceCredit SuisseBlackstone Group LPPNC Wealth Managemenarsago Global HedgeDa Vinci InvestZulauf Asset Management AG
Wermuth Asset Management GmbH (WAM)
tArrow Hedge Partners IncBluMont CapitalSalida Capital CorpLeeward Hedge Funds IncThornhill Global Commodities Fund
Goldman Sachs
BOND SELLERS
Solfin Sociedad de Corretage de ValoresICAP PlcUS Trust CoCantor Fitzgerald LPUBS Securities LLC
BUYOUT FIRMS
Cerberus Partners LP
Providence Equity Partners Inc.
The following are some of world’s largest Hedge Funds and Portfolio management corporations. You can eneter their websites, surf it andread their procedures for doing business with them and contact them too.
In reality hedge funds are loosely regulated private pool of money which invests in all kinds of “legal investments” to maximize the returns. It can be equities, futures, currencies, commodities, bonds, real estate and even they invest in “Weather Derivatives” (betting on weather conditions) or even seed capital start-up companies like private equity / venture capital funds. Unlike mutual funds, hedge funds have no restrictions on “where” they could invest or “in what” they could invest in.Number of hedge funds has grown rapidly in the past few years to more than 10,000 funds all around the world and total assets of more than a trillion dollars. Closedown / failure rates of hedge funds are very low compared to the start-up of new hedge funds. With startup / seed capital from their own pocket and with a Bloomberg terminal, more people are starting hedge funds. Most of them are former brokers, asset managers or traders in big investment banks / brokerages who had already managed money for high-net-worth clients. But to become a successful hedge fund, they need to raise capital of at least 40 million, follow a disciplined investment process with a high focus on risk management controls and make a decent return of 8% or more in the first year of operation.The boom in hedge fund launches has benefited the service providers the most. Companies providing start-up and compliance services, prime brokers, administrators, auditors, legal service provider’s, third-party marketers, IT and technology consultancies, risk management and research consultants are making a fortune out of it. The minimum startup / launching cost could come around $300-500K and the service providers benefits the majority of it.The equity long-short strategy with a long-bias is the most common hedge fund strategy used, other strategies like CTA / managed futures, global macro, distressed debt securities, fixed income are also common. Whatever the strategy, most funds profits from the price difference in stocks, futures, options, bonds, commodities, currencies / forex and other forms of derivatives. Other hedge funds uses event-driven / special-situations style which exploit the financial situations of companies during mergers, acquisitions, takeovers, bankruptcies or political changes in some countries.When the market become crowded, some fund managers uses very different strategy approach like giving bank loans, funding research in healthcare, pharmaceuticals and biotech companies, aircraft leasing, investing in retail business, invest in alternative fuel production like ethanol biodiesel, etc. The basics is that, hedge funds invest in areas where they see the opportunity of making money and successful hedge funds are the one who identify and utilize these opportunities in early-stage and cash-in before it becomes overcrowded.Aggressive hedge funds will give high returns in a short time but high risk is also involved. Most common hedge fund statistics to measure / calculate risk/return are sharpe ratio, sortino ratio, calmer ratio, sterling ratio and treynor ratio. Other common statistics are annualized return, standard deviation, downside deviation, alpha, beta etc.Most of the United States hedge fund companies are based (head office location) in tri-state area (New York, New Jersey and Greenwich - Connecticut) but list of hedge funds in other cities like California, Chicago, San Francisco, Dallas and Boston are also growing. Major centers in Europe are London, Italy, France, Russia and Switzerland and leading the pack in Asia-pacific and other emerging markets are Japan, Hong Kong, Singapore, Australia and Brazil.Investments in hedge funds are highly risky; you could even loose your whole investment if the fund manager’s bet goes wrong. Few examples, In September 2006 two top ranking energy hedge funds betting on energy futures on oil and natural gas lost around 5 billion US dollars, one of the fund even lost the whole investment. In 2005 one of the Singapore’s biggest global macro hedge fund betting on derivatives in Korean market lost around 20 million in a single trade. In 2005 a commodities / futures brokerage hid millions in losses leading to near collapse of the firm. And the list is continually growing.Hedge fund frauds are also common in the industry; lack of not doing proper due-dilligence process is the main reason. Managers who claim guaranteed capital protection with high returns within a short period of time or promising very high returns with a new strategy, etc are the ones you should lookout for.SEC (Securities and Exchange Commission) in US and FSA (Financial Services Authority) in UK and other regulatory authorities in Asian, European and Latin American countries has come up with a restriction that only wealthy / high net worth investors like accredited investors and family offices and institutional investors like private banks, pension funds, endowments, insurances etc can invest in hedge funds so as to protect the ordinary / small investors from loosing money investing in hedge fudns.Hedge funds also have a restriction on minimum investment amount an investor can invest, generally small-cap and mid-cap hedge funds will have a minimum deposit size of 100,000 US$ to 250,000 US$ and large funds with billions of dollars in assets under management (AUM) have anywhere from 500,000 USD to 5 Million USD and some have a lock-up period also, which lock the investment for 1-2 years.Hedge funds have two kinds of fees, management fee that you have to pay as long as the hedge funds are managing your money, it’s usually 1%-2% of the asset, paid annually. Performance fee which will be 20% of the return the manager make from your asset, most managers also maintain a “high-water-mark”, which means you don’t have to pay incentive fee if the return falls below the previous highest return and a “hurdle rate”, a minimum return the hedge fund manager must make before charging performance fee.Hedge funds are prohibited from soliciting or advertising to a general audience through websites / internet, cold calling or other advertising media. So, hedge fund conferences, forums and seminars are popular as it provides networking opportunity for the managers and the investors and the event management companies are organizing more conferences every year due to the increasing demand. Prime brokerage firms hosting capital introduction meetings / road shows are also gaining popularity.As hedge funds cannot advertise itself, their websites should be password protected and allow only qualified clients who fill up proper questionnaire. All the incoming and outgoing emails and all other electronic communications between the hedge fund firm’s employees and the investors must be stored in secured servers and are subjected to regulatory verifications if needed.Offshore hedge funds are funds which are domicile / registered in offshore / international financial centers like Cayman Islands, British Virgin Islands, Mauritius and Hong Kong in Asia. These funds are not subjected to SEC, FSA or other financial regulatory authority regulations and provide a lot of tax advantages.Hedge fund managers and hedge fund analyst gets one of the best salary in the financial industry. Top managers are paid in millions and you can see few managers in the forbes list of richest Americans. Because the salaries in hedge fund industry are the highest, even entry-level jobs are very popular and have lot of competition among the employment seekers. Hunting for best talents is also a difficult task for the hedge fund recruiters.Success of a hedge fund is depended on the quality of the manager, so an investor should do a proper due-diligence process and investigate track records of the manager before investing in a hedge fund. Also you must read carefully the offer documents, marketing and reporting materials provided by the manager like the private placement memorandum (PPM), DDQ’s, presentations, prospectus, subscription agreements, etc which contains the fund’s strategy, specific market risk involved and other practices which the advisors follow, frequency of fund performance (NAV, RoR) reporting, whether market research is done internally or outsourced, contact details of hedge fund managers and service providers, investor and personal references etc.
HEDGE FUNDS YOU CAN ANNESS
Greenwood Capital Associates LLC.City of London Investment Management, SingaporeBaring Asset ManagementRichelieu Finance, FranceCredit SuisseBlackstone Group LPPNC Wealth Managemenarsago Global HedgeDa Vinci InvestZulauf Asset Management AG
Wermuth Asset Management GmbH (WAM)
tArrow Hedge Partners IncBluMont CapitalSalida Capital CorpLeeward Hedge Funds IncThornhill Global Commodities Fund
Goldman Sachs
BOND SELLERS
Solfin Sociedad de Corretage de ValoresICAP PlcUS Trust CoCantor Fitzgerald LPUBS Securities LLC
BUYOUT FIRMS
Cerberus Partners LP
Providence Equity Partners Inc.
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