LMH
Jul 12 1999, 04:42 PM
My firm is getting ready to offer Hedge Funds to the clients in our trust division. Does anyone have any input as to potential problems/situations I should keep an eye out for with these as investments in IRAs? I can't find anything, but these appear to be a subject of great debate on other levels, which is why I would like some input.
Bruce Steiner
Jul 12 1999, 10:08 PM
Unrelated business taxable income (due to the leverage in the fund).
You can avoid this with offshore funds, at a cost (at the fund level) of the withholding tax on dividends.
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Bruce Steiner, attorney
(212) 986-6000 (NY office)
(201) 862-1080 (NJ office)
also admitted in FL