Overview

This is Module 8 of the Henley Executive Hedge Fund Program (HEHFP). This module looks at the internal operations of a fund. It focuses on managing a hedge fund business, including key concepts of budgeting and cash flow, internal functional roles, fiduciary responsibilities of the fund manager, and the relationship with the fund administrator. It also explains what it means to cut the NAV of a fund.

This module is a 3.5-hour (approx. study time) course and is eligible for 2 SFC CPT/PWMA OPT hours.

Check out the other modules in the Program:

• Module 1: Overview of the Hedge Funds Industry
• Module 2: Structuring & Setup
• Module 3: Capital Raising & Investor Relations
• Module 4: Portfolio Management
• Module 5: Portfolio Risk Management
• Module 6: Markets and Trading
• Module 7: Prime Brokerage Services
• Module 9: Operations and Technology
• Module 10: Operational Risk Management & Operational Due Diligence
• Module 11: Legal
• Module 12: Ethics (2023)
• Module 13: Compliance
• Module 14: Fund Governance
• Module 15: Tax, Audit & Accounting
• Module 16: Human Resources
• Module 17: Pitchbook Formation

Objective

By the end of this module, you will be able to:
- Describe how to manage a hedge fund business
- Explain key concepts of budgeting and cash flow
- Tell the role of responsibilities of a fund manager
- Describe the relationship between the fund manager and the fund administrator

Content

Part 1 - Pre-reading materials
(i) Gimlet Media - "Start Up"
(ii) Launching a Hedge Fund: Lessons Learned by the COO of a Start-up Fund
(iii) The Business of Running a Hedge Fund, from Wells Fargo Securities
(iv) Albourne Village Daily Emails
(v) Budget Sheet

Part 2 - Presentation Slides of the eCourse

Part 3 - Business Management and Fund Administration eCourse*
(i) Section 1:  Introduction to Managing the Business
(ii) Section 2:  Running the Investment Management Company
(iii) Section 3:  Running the Fund
(iv) Section 4: Cutting the NAV
(v) Section 5: Concluding Remarks

Part 4 - Quiz*
The quiz consists of 15 questions where learners have 3 attempts to achieve at least 80% with correct answers as a pass.

Part 5 - Post-reading materials
(i) Equalisation is it worth the heartache?
(ii) AIMA's Guide to Sound Practices for Hedge Fund Administrators
(iii) Valuation of Insurance-Linked Funds
(iv) Hedge fund operating expenses
(v) Standardised Total Expense Ratio ("STER")

* mandatory parts to complete

Who should attend

(1) Hedge Fund professionals seeking to enhance their knowledge
(2) Individuals looking to start a Hedge Fund
(3) Service providers e.g., Banking, Risk, Compliance and IT professionals, Lawyers, Fund Administrators