The Benefits of Marketing Your Hedge Fund
Learn more about the importance of good marketing for your hedge fund firm and other investments.
With the passage of the Jobs Act,
there are now opportunities for hedge funds to market their services to the general public. Prior to this legislation, there was a complete ban on the marketing of hedge funds. The new Act is now making it easier for new investors to contribute their capital to hedge funds that are set to take off in the future. Now that this ban has been lifted, there are still certain restrictions on place. One restriction is the requirement that an individual make at least $200,000 a year or have at least $1 million in assets. However, the overall benefit of this new marketing scheme is that struggling investors will now have their chance to invest in exclusive hedge funds.
There are plenty of benefits that small hedge funds can enjoy from this new legislation. The major benefit of marketing hedge funds is the potential to attract up-and-coming investors. Those young investors who are innovating in the worlds of green technology and social media will be able to now contribute their capital to hedge funds. Individuals like the maker of Facebook, Inc. will be able to have new investment opportunities available to them. There is a new generation of investors that hedge funds can now attract through being able to publicly market themselves.
Another benefit of marketing hedge funds is being able to continue to improve existing relationships with investors. Investors like to see what is going on with a hedge fund. The website of a hedge fund can provide a valuable outlet to discuss any developments in the strategy of the hedge fund. Investors will now be aware of social events that the hedge fund may be hosting in the future. Investors can also browse articles and documents on the website of a hedge fund in order to greater appreciate the history of the hedge fund.
Marketing a hedge fund also provides managers with the chance to communicate with investors through social media outlets. Investors will now be able to follow the managers of a hedge fund on outlets like LinkedIn. Hedge fund managers should just be careful to ensure that their image is portrayed as sophisticated on these social media outlets. Hedge fund managers may wish to get in touch with a business that specializes in marketing hedge funds. This can ensure that the right image of a hedge fund is conveyed to the public.