Investment Management Agreement Norton Rose


Investment Management Agreement: A Comprehensive Guide by Norton Rose

Investment is a crucial aspect of financial planning, and it is necessary to ensure that your investments are managed efficiently. For this purpose, you may enter into an investment management agreement (IMA) with a professional wealth manager or investment advisor. Norton Rose is a leading law firm that provides legal expertise on a range of business and financial matters, including investment management agreements. In this article, we will delve into the details of investment management agreements and how Norton Rose can help you ensure a clear and comprehensive agreement with your wealth manager.

What is an Investment Management Agreement (IMA)?

An investment management agreement is a written contract between an investor and an investment manager or advisor. In this agreement, the investor gives the investment manager the authority to manage their investments, including buying and selling securities, making investment decisions, and monitoring the portfolio`s performance. The agreement outlines the responsibilities of both parties, including the investment objectives, fees, and reporting requirements.

Why is an IMA Necessary?

An IMA is vital to protect the interests of both parties and ensure a clear understanding of the investment management relationship. It sets out the scope of the investment manager`s role and responsibilities, such as the level of discretion and control the investment manager has in making investment decisions on behalf of the client. The IMA also outlines the fee structure, including any management fees, performance fees, and other costs associated with the investment management services.

How Can Norton Rose Help with Your IMA?

Norton Rose has extensive knowledge and experience in drafting and negotiating IMAs for a range of clients, including investors, family offices, and financial institutions. Our legal professionals work with clients to understand their investment goals and objectives and draft a tailored IMA that reflects those goals and objectives. Our services include:

1. IMA Drafting and Review: We can draft or review your IMA to ensure that it adequately reflects your investment goals, objectives, and risk tolerance. We ensure that the IMA clearly outlines the investment manager`s duties and responsibilities, such as investment decision-making, reporting requirements, and fee structures.

2. Negotiation: We can negotiate with the investment manager to ensure that the IMA meets your needs and covers all relevant issues. We help you negotiate the fee structure and other terms to ensure that they align with your investment goals and objectives.

3. Regulatory Compliance: We ensure that your IMA complies with regulatory requirements, such as the Investment Advisers Act of 1940 and state securities laws. This is particularly important if you are working with a registered investment advisor.

Conclusion

An IMA is an essential tool for ensuring that your investments are managed efficiently and effectively. It outlines the responsibilities and fee structures of both parties, providing clarity and transparency for the investment management relationship. Norton Rose has extensive experience in drafting and negotiating IMAs and can help you ensure that your IMA reflects your investment goals and objectives. Contact us today to learn more about our investment management agreement legal services.