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Investment Club Agreement
"I need an Investment Club Agreement for a group of 10 Swiss residents who will invest primarily in Swiss blue-chip stocks and bonds, with monthly contributions of CHF 1,000 per member, starting March 2025."
1. Parties: Identifies the founding members of the investment club
2. Background: Sets out the context and purpose of establishing the investment club
3. Definitions: Defines key terms used throughout the agreement
4. Club Structure and Purpose: Establishes the legal structure and primary objectives of the club
5. Membership: Details requirements, rights, and obligations of members
6. Contributions and Units: Specifies rules for financial contributions and how ownership units are calculated
7. Investment Policy: Outlines investment objectives, permissible investments, and investment strategy
8. Management and Administration: Defines roles, responsibilities, and decision-making processes
9. Meetings and Voting: Establishes procedures for club meetings and voting mechanisms
10. Accounting and Reporting: Details financial record-keeping requirements and reporting obligations
11. Profit and Loss Distribution: Specifies how gains and losses are allocated among members
12. Withdrawal and Transfer of Interest: Sets out procedures for member exits and interest transfers
13. Dissolution: Outlines circumstances and procedures for club dissolution
14. Governing Law and Jurisdiction: Specifies applicable law and dispute resolution mechanisms
1. Investment Committee: Used when the club wants a dedicated committee for investment decisions rather than full member participation
2. External Manager: Include when the club plans to engage professional investment managers
3. Borrowing Powers: Required if the club intends to use leverage or borrow funds
4. Special Investment Classes: Include when the club plans to invest in specific asset classes requiring special provisions
5. Tax Provisions: Detailed tax arrangements when members have different tax statuses or international members
6. Confidentiality: Enhanced confidentiality provisions for clubs dealing with sensitive investment strategies
7. Digital Communications: Include when the club wants to formally establish rules for virtual meetings and electronic voting
8. Alternative Dispute Resolution: Specific mediation or arbitration procedures if preferred over court proceedings
1. Schedule 1 - Member Register: List of current members with their contact details and contribution amounts
2. Schedule 2 - Investment Guidelines: Detailed investment criteria, restrictions, and allocation limits
3. Schedule 3 - Valuation Rules: Specific methodology for valuing investments and calculating unit values
4. Schedule 4 - Fee Structure: Breakdown of any administrative fees, commission structures, or cost allocation
5. Schedule 5 - Operating Procedures: Detailed procedures for day-to-day operations and investment processes
6. Appendix A - Membership Application Form: Standard form for new member applications
7. Appendix B - Investment Proposal Template: Standard format for presenting investment opportunities
8. Appendix C - Withdrawal Notice Form: Template for members to notify their intention to withdraw
Authors
Wealth Management
Private Banking
Investment Services
Financial Services
Professional Services
Asset Management
Private Equity
Family Office Services
Investment Advisory
Legal Services
Legal
Compliance
Wealth Management
Private Banking
Investment Advisory
Risk Management
Client Services
Operations
Finance
Corporate Governance
Portfolio Management
Investment Administration
Wealth Manager
Private Banker
Investment Advisor
Legal Counsel
Compliance Officer
Financial Controller
Investment Manager
Relationship Manager
Tax Advisor
Risk Manager
Portfolio Manager
Client Services Manager
Operations Manager
Fund Administrator
Corporate Secretary
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