A Guide to Starting Your Hedge Fund - Hardcover

Serrano Berntsen, Erik; Thompson, John

Hardcover

ISBN 10: 0470519401 ISBN 13: 9780470519400

Publisher: Wiley, 2015

Synopsis

Successful hedge fund investing begins with well-informed strategy

A Guide to Starting Your Hedge Fund is a practical, definitive "how-to" guide, designed to help managers design and launch their own funds, and to help investors select and diligence new funds. The first book to examine the practical aspects of setting up and operating funds with a focus on energy commodity markets, this book scrutinises the due diligence process and comprehensively reviews the opportunities and risks of all energy commodity markets as hedge fund investments. Extensive planning and strategy advice prove invaluable to prospective fund managers and investors alike, and detailed discussion of the markets' constraints help inform procedural decisions. Readers gain insight into practical matters including legal and commercial structures, due diligence, fund raising, operations, and more, allowing them to construct a concrete investment plan before ever touching a penny.

Asset managers are looking to energy commodities to provide attractive uncorrelated – if volatile – returns. These high returns, however, are accompanied by high risk. Few investors have experience evaluating these investment opportunities, and few prospective fund managers understand the market fundamentals and their associated risks. This book provides the answers sorely lacking in hedge fund literature, giving investors and fund managers the background they need to make smarter decisions.

• Understand the markets' structures, opportunities, and risks
• Develop a comprehensive, well-informed investment strategy
• Conduct thorough due diligence with a detailed plan

• Examine the practical aspects of fund raising, legal and tax structure, and more

Oil has long been traded by hedge funds, but electricity, the fuels that generate electricity, and the environmental products like emissions allowances and weather derivatives have become the new "hot" investment strategies. These high returns come with higher risk, but A Guide to Starting Your Hedge Fund ensures participants have essential information at their disposal.

About this title

About the Author

Erik Serrano Berntsen is CEO of Stable Asset Management. Prior to Stable, he was a Consultant with Bain & Co., where he consulted on private equity deal studies as well as a broad spectrum of corporate engagements. During his time at Bain he was also an advisor to the Prince’s Trust, including advising on the UK-wide Volunteer Strategy initiative. Erik holds a Bachelor of Arts in Politics, Philosophy and Economics from Keble College, University of Oxford, and a Masters of Business Administration with honours and a Concentration in Finance from the University of Chicago Booth School of Business.

John Thompson is Principal of Stable Asset Management. Prior to Stable, he was a senior executive of Enron Europe. He has held regulatory affairs and market operations management roles with Wintershall (BASF) and was regional financial coordinator for Milestone Petroleum (Burlington Resources). John began his energy career in the oil and gas fields of the Rocky Mountains and later as a well-site mud-logging engineer. John has held several Directorships, including Member of the Supervisory Board of the European Energy Exchange (EEX). John also holds a Masters of Business Administration from the University of Chicago Booth School of Business.

Stable Asset Management is a hedge fund seeding firm that backs top trading talent globally to build institutional quality asset management firms.

From the Back Cover

A Guide to Starting Your Hedge Fund is a practical and definitive guide that offers investors and fund managers the information and tools they need to select, design, and launch their own funds. Written by Erik Serrano Berntsen and John Thompson – hedge fund and energy industry experts – this important resource examines the practical aspects of setting up and operating funds, giving additional insight into the burgeoning sector of energy commodity markets. The authors scrutinise the due diligence process and offer an intelligent review of energy hedge fund investment opportunities and risks. This important text also includes a wealth of planning and strategic advice that will prove invaluable to prospective fund managers and investors.

A Guide to Starting Your Hedge Fund gives prospective fund managers an accessible approach for mastering the key elements necessary if they are to develop a successful hedge fund. Berntsen and Thompson put the focus on a proven method for creating an effective overall strategy. They reveal how to create a sound business plan, outline the critical legal requirements, and show what it takes to work well with service providers, such as prime brokers and administrators. The book explores the fundamentals of running an investment management firm, includes information on fundraising techniques, and clearly shows how to administer the daily operations of a hedge fund.

Serrano Berntsen and Thompson offer their in-the-trenches wisdom and sound advice that investors should consider before adding an energy commodity hedge fund to their portfolio. The authors also include their insights into the future of energy commodity hedge funds. Designed as a practical resource, the book contains an outline of a sample business plan, offering memorandum, and a helpful due diligence questionnaire.

Whilst oil has long been traded by hedge funds, natural gas, electricity, and the environmental products like emissions allowances and weather derivatives are the new and highly desirable investment strategies. These high returns come with major risk, A Guide to Starting Your Hedge Fund gives savvy investors and fund managers the information they need to make smart decisions.

From the Inside Flap

A Guide to Starting Your Hedge Fund is a practical and definitive guide that offers investors and fund managers the information and tools they need to select, design, and launch their own funds. Written by Erik Serrano Berntsen and John Thompson – hedge fund and energy industry experts – this important resource examines the practical aspects of setting up and operating funds, giving additional insight into the burgeoning sector of energy commodity markets. The authors scrutinise the due diligence process and offer an intelligent review of energy hedge fund investment opportunities and risks. This important text also includes a wealth of planning and strategic advice that will prove invaluable to prospective fund managers and investors.

A Guide to Starting Your Hedge Fund gives prospective fund managers an accessible approach for mastering the key elements necessary if they are to develop a successful hedge fund. Berntsen and Thompson put the focus on a proven method for creating an effective overall strategy. They reveal how to create a sound business plan, outline the critical legal requirements, and show what it takes to work well with service providers, such as prime brokers and administrators. The book explores the fundamentals of running an investment management firm, includes information on fundraising techniques, and clearly shows how to administer the daily operations of a hedge fund.

Serrano Berntsen and Thompson offer their in-the-trenches wisdom and sound advice that investors should consider before adding an energy commodity hedge fund to their portfolio. The authors also include their insights into the future of energy commodity hedge funds. Designed as a practical resource, the book contains an outline of a sample business plan, offering memorandum, and a helpful due diligence questionnaire.

Whilst oil has long been traded by hedge funds, natural gas, electricity, and the environmental products like emissions allowances and weather derivatives are the new and highly desirable investment strategies. These high returns come with major risk, A Guide to Starting Your Hedge Fund gives savvy investors and fund managers the information they need to make smart decisions.

Edition details

• Publisher: Wiley
• Publication date: 2015
• Language: English
• ISBN 10: 0470519401
• ISBN 13: 9780470519400
• Binding: Hardcover
• Edition number: 1
• Number of pages: 216