I would additionally similar to to supplement which prior to i take any profits, my series the single priority is to lapse his volume invested.
He thinks i should give him behind 2/3 of the profits, even yet i will be we do all of the work, so, what do we consider is the satisfactory share?
{ 6 comments }
Are you willing to take a share of the losses similar to the share of gains you want?
He is providing capital and bearing the risk of capital loss- that is his contribution which makes it perfectly fair. You could always charge him a service or management fee for performing the service (say 1.5% of contributed capital) but if it’s all within the family, I don’t think you should be too fussed especially considering he’s essentially lending you money with a high risk of loss!
That being said, as an avid physical and margin FX trader myself, there are many risks and pitfalls involved so don’t try too hard to count your chickens before they hatch!
2/3 of profits to dad. you can charge him a fee to manage account. but it would be like 2% of his balance annually.
you are entitled to something for managing his money. a portion of the 2/3 profits should go to you as a fee.
Why don’t you structure it like a hedge fund. You could charge a 20% performance fee on your dad’s portion of the profits. That way you’re being compensated for trading the account.
I know it sounds heartless seeing how this deals with family, but what incentive would there be to trade his money in addition to your own if you’re not compensated for providing a service.
who is doing trading? if you are doing trading so you will keep 50 % of your profit.
I guess you guys should decide for your self.
Comments on this entry are closed.