Cost to Start a Mutual Fund?

Question

How much money do you need to start a Mutual Fund? I'm talking about operating costs, I'm talking about strictly administrative costs for the fund to exist and be listed on the Nasdaq?

Answer 1

Size matters if you're seriously thinking about competing with the major fund companies. That's why so many have consolidated and so many have gone out of business. If you are seriously trying to set up a professional business which attempts to attract a sizable quantity of investors, you must be prepared to get a lot of seed money. You must get several million dollars from willing investors.

And your prospects aren't improved in the current bear market.

I think the best approach would be, if you have the education, to get imployed by a mf company and learn the ropes through the inside.