This is actually way too optimistic.

Your first 1-2 seed investors will:

- Only pay 1 and 10 (1% fixed fee and 10% of PNL)

- They will also get ownership of the actual fund management firm and will get that in the form of 20% of REVENUE (not equity, revenue, think about that)

This is one reason new fund formation is way down. The economics are bad for years. Know a bunch of HF people that started vc-backed tech firms instead.

The other reason is 10+ year run where stocks, bonds, private firms and real estate just went up. No need for diversifying return streams.