A hedge fund in Russia
is a type of investment fund
which is addressed to investors who want to run multiple investment strategies
at the same time. Hedge funds market in Russia
is developing at a fast pace, as it registered very good results in 2015 and 2016. Foreign investors who are interested in setting up a company in Russia
must know that the hedge fund market
increased by 29% in 2015. The main purpose of a hedge fund
is to conduct investment strategies
which will allow the highest returns
. Our team of company formation specialists in Russia
can provide more details on how to set up a hedge fund
Types of hedge funds in Russia
Foreign investors can choose from two main types of hedge funds in Russia, as follows:
• interval hedge funds;
• closed-ended hedge funds.
The difference between the two types is given by the rights the investors have. In the case of an interval hedge fund, the management company is allowed to redeem the units at specific dates. In the situation of a closed-ended hedge fund, the right is given only when the trust management contract is expiring.
Those who are interested in company formation in Russia
should know that the hedge funds
fall under the regulations applicable for retail funds
, which in this case is the Federal Law on Investment Funds No. 156 –FZ
An important aspect when setting up a hedge fund in Russia is that the vehicle does not have to be licensed on the local market in order to perform financial activities.
Still, the investors will need to register with the Central Bank of Russia.
Hedge fund industry in Russia
At the moment, the hedge fund market provides many investment opportunities to local and foreign businessmen. The increase observed in 2015 was eight times higher than in the case of other major economies of the world, such as China.