Legal Issues Of Structuring The Fund
It’s tempting to think of it as boilerplate, but investors spend a great deal of time going through the offering memorandum because it lays bare the framework, discusses the rights of investors and addresses such matters as founder shares. And, when the PPM gets reviewed, if the risk warnings are out of sync with the alpha proposition or the redemption mechanics don’t square with the liquidity, then it’s unlikely to pass muster with investment consultants and advisers.
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