Business Tips and Marketing Advices

Posts Tagged ‘Collective investment scheme’

I am doing a business plan competition for entrepreneurs to be “something” that raise funds from different participants and meets on an account to invest in future according to some strategy, then return the money plus the return to shareholders, staying with a percentage of profit, that is, only if there has been profitable. Come on, an investment company ordinary.
After much research I concluded that the right thing to do was to create a management company of Collective Investment Schemes (UCITS management companies) to manage and represent an investment fund (IF), and constiturlos both in the CNMV.
The problem is that to create the company needed more than 2 million minimum capital, a minimum of 100 members, and at least 100 members for the fund, ie, the project runs through my hands, and is designed for people who already have much money.
On the other hand, the only other option I’ve found is to make a “Investment Club,” which is simply a community of goods, but that’s to do between 4 friends and learn more than anything.
Do you know of a way to raise funds to manage them using SL, SA, or other instrument to do so with little money?.
Then I saw some websites that do but put the legal notice that transactions are considered private between the parties and so investments are not subject to any kind of regulatory standards, but not if it is legal in Spain.
There are also portfolio management companies but do not know if they can meet all of the assets of people in one place to manage them together as happens in an investment fund.
Can you help me?, Knows a simple solution?

The first significant reference to the Investment Funds in Spain, dating from 1964 through Decree-Law 7 / 1964 of April 30, which authorizes the government to regulate investment funds financial information (mutual fund) . In its early investment funds did so only in equities, so that your progress will be closely linked to the exchange. Until 1974, experiencing a great development, but the global crisis of the 70 causes a steady decline in growth due to the low yields they produced. It is from that moment when one begins to consider the fixed-income assets to diversify portfolio risk, and in 1980 began to enter values ??in this category in the fund portfolios. Finally, Law 46/1984, of December 26, consolidating the trend with the creation of investment funds in money market funds (FIAMM).

However, the final impetus for the FIM and FIAMM occurs at the beginning of the 90 for several reasons. From a financial standpoint, is the creation of Fondtesoro whose state advertising campaigns this formula greatly promote investment and on the other hand we must not forget in this sense, the direct involvement of banks and savings banks as promoters the vast majority of funds marketed in Spain, taking advantage of their distribution networks across the country.

The control and supervision of funds for the Commission Nacional de Valores (CNMV), which performs its function with the same powers and legislative powers, regulators, auditors and penalties, that is vested by the Law 1284/98 Market Securities.

Management Companies, Custodians and all brochures and reports on the Funds registration is compulsory in the Register maintained by the National Securities Commission, are governed by the provisions of Law No. 811/96, the regulations of the CNMV and the respective regulations or internal management of each of the funds previously approved by the committee.

The management company of collective investment institutions (SGIIC)

Is emitted manages and administers the fund and all, decide which is the investment policy to follow, ie, decides the securities and financial instruments to be purchased and sold with the fund’s assets.

The Management Company does not own the fund, because the real owners are the members of the fund. Each fund has a single management company and each SGIIC can manage several investment funds at once, each one depending on the needs and preferences of savers. By directly to the fund management charges a fee (management fee). The managers are required to periodically submit to the CNMV comprehensive information that tells the history of funds and the degree of compliance with the legal requirements, among which are: investment ratios of assets, equity, liquidity, positions the group manager, Relationship of purchase and sale, etc. All the purchase, sale and transfer of shares must inevitably pass through the manager, not being able to operate without this average.

D) The depositary

It can be any savings bank, Bank, Company or Agency Securities or Credit duly registered in special registers of the CNMV. Its basic function is the custodian of the values ??that the IIC has in his wallet, but you can trust all or part of it to a third party. Apart from this responsibility is responsible for the following functions:

Receiving and keeping custody of securities and all those assets which are investments in mutual funds, and also performs the settlement of transactions.
Ensure the regularity of the subscription of shares, claiming the amount, whose net credited to the fund, being obliged to notify the CNMV of any abnormalities detected.
Satisfied, on behalf of the funds, redemptions ordered by the management company, whose net payable on their own merits.

Only invest in products you understand.  Read this article about various investment products.

Compare different investment products. Ask the company to the financial prospectus. And whether the investment has a Simplified Prospectus.
Please note:

* The risks of the product. At high yields (income) include mostly high risks. Want to take risks?
* The chance that you will return. When investing, you never know how high your return will be. Past performance is no guarantee of future results. Guarantees the company a financial return? Find out about the conditions.
* The purchase and sale opportunities. Please read the terms of the possibilities of the investment to buy and sell. See if you have to pay transaction costs.
* Additional costs such as administration and management.