How to start an advisory firm?

[dinesh.karthik]

Hi all,

I am new to this community.

I have a set of clients to whom I have been giving the calls. I have an idea of managing all their money together in a single account. In short, I want to start to an advisory firm.

How to proceed?

Regards
Dinesh

 

[bunny]

You are already providing advisory services. You might be doing this as a person. If you want, you can for your sole proprietorship or partnership firm and start doing business under it.

What you want to do -'Managing all their money in a single account' will come under something called as Portfolio Management Services. You will have to register with SEBI as a portfolio manager against your relevant education qualification or attested work experience in this field.

Else, you can get a letter from the so called "clients" allowing you to operate their accounts. The downside of this method is that you will have to still operate every account singly.

 

[dinesh.karthik]

@bunny

thanks a lot for giving reply.

I have been giving calls for forex trading. So I dont think this is not related to SEBI.

I have two options here.

1. I have a terminal software, where I can map all the clients accounts and if I place one order in one account, the same order will be placed in all the mapped accounts according to the preset sizes. I planned to charge them on profit sharing.

2. Pool all the clients money to a single account and do trading.

I feel 2nd option quite difficult after predicting some outcomes.

I feel 1st option is better. But how to go with the documents as it is profit sharing. I want to do all these by starting a firm. With whom I have to register, as this is forex service.

Regards
Dinesh