Set Up a Fund Company in the US? Save This Registration Process Guide!

Want to Establish a Fund Company in the U.S.? This Registration Guide is a Must-Read!

In recent years, with the rapid development of the global capital market and the growing attractiveness of the U.S. financial market, more and more investors and enterprises have turned their eyes to this land full of opportunities. As one of the core carriers in the investment field, fund companies have become an important choice for many institutions and individuals to achieve wealth appreciation. However, successfully establishing a fund company in the U.S. is no easy task; it requires strict compliance with legal norms and regulatory requirements. This article will provide a detailed registration process guide for businesses that wish to operate in the U.S., drawing on recent relevant hot news.

I. Clarify Objectives and Positioning Starting from Needs

Before deciding to enter the U.S. market, it is essential to clearly define your business model and development direction. Are you focusing on private equity investment PE, venture capital VC, or are you more inclined towards hedge funds or mutual funds? Different types of funds correspond to different compliance standards and service targets. For example, in July 2025, The Wall Street Journal reported that a well-known Chinese technology giant established a new venture capital fund through its subsidiary in the U.S., primarily targeting early-stage investments in AI startup companies. This case illustrates that choosing the right type of fund not only concerns market competitiveness but also directly affects subsequent operational strategies.

It is also necessary to consider the target client group and their preferences. American investors generally place greater emphasis on transparency, risk management capabilities, and long-term return potential. When designing products, these factors should be fully considered. Meanwhile, given the increasing popularity of ESG environmental, social, and governance concepts worldwide in recent years, some fund companies have begun actively integrating sustainable development ideas into their investment decisions. For instance, Blackstone Group recently announced plans to invest billions of dollars in green infrastructure over the next five years, setting a good example for other enterprises.

II. Overview of the Registration Process From State to Federal Levels

Once the direction is clear, the next step is to officially start the registration procedure. In the U.S., the registration process for fund companies is divided into two stages first at the state level, then at the federal level.

1. State-Level Registration

In most cases, newly established fund companies need to obtain recognition from their respective states. Specific steps include, but are not limited to

Submit Articles of Organization and pay the corresponding fees;

Ensure the company name complies with local regulations to avoid confusion with other registered entities;

Complete tax registration according to state laws and obtain an Employer Identification Number EIN.

For example, in New York State, there have been reports recently that due to frequent cross-border capital flows in recent years, the state has relaxed access thresholds for some foreign enterprises, but still emphasizes the need to comply with anti-money laundering AML and related legal requirements. When preparing materials, attention must be paid to details to avoid delays caused by negligence.

2. Federal-Level Registration

After completing the state-level registration, the next step is to submit an application to the U.S. Securities and Exchange Commission SEC. Key stages include

Fill out Form ADV, disclosing basic information about the company, management structure, and potential conflicts of interest;

Prepare a detailed operational plan book, outlining investment strategies and risk control measures;

Maintain communication with the SEC to ensure all documents meet the latest regulatory requirements.

It is worth noting that since the beginning of 2025, the SEC has strengthened the requirements for disclosure in the fund industry, especially for private placement projects for high-net-worth clients. Extra caution is required when writing documents to ensure each statement can be substantiated.

III. Compliance Management An Indispensable Link

Regardless of which country they operate in, compliance is always the cornerstone for financial institutions' survival and development. For the U.S. market, in addition to the aforementioned basic registration processes, there are several additional obligations to note

Comply with the Investment Advisers Act of 1940 to ensure that provided consulting services are lawful and effective;

Regularly accept reviews by independent audit agencies to verify the authenticity of financial conditions;

Participate in industry self-regulatory organization training programs like those organized by FINRA to enhance professional competence among employees.

It is worth mentioning that recent exposure of some violation cases reminds us that even experienced large institutions may suffer heavy penalties for neglecting certain minor details. For example, an internationally renowned asset management company was fined heavily last year for failing to properly handle customer data protection issues. This highlights the importance of establishing a robust risk management system.

IV. Future Outlook A New Era of Challenges and Opportunities Coexist

Despite the current complex and ever-changing global economic landscape, the U.S. remains one of the most dynamic investment destinations in the world. For those enterprises eager to make a splash here, besides solid groundwork, it is also crucial to keep an eye on industry trends and technological advancements. For instance, blockchain technology is gradually permeating traditional financial sectors, with numerous innovative enterprises attempting to optimize transaction efficiency using smart contracts; simultaneously, the digital transformation wave is prompting more enterprises to explore the possibilities of online service platforms.

In summary, to establish a successful fund company in the U.S., patience and meticulous preparation are needed for all preliminary work, along with the ability to flexibly respond to external environmental changes. It is hoped that this guide provided herein will help readers better understand the entire process and lay a solid foundation for future practice.