We are interested to discuss investment opportunities with prospective partners. However, investing with us carries risks and we prefer to be upfront. First, the value of investments and any income from them may go down as well as up, so you may get back less than you invested. Second, despite our brilliant performance in 2016, past performance cannot be relied upon as a guide to future performance. Third, we choose to invest in securities based on a risk adjusted potential return. As mentioned in the investment areas section, we mainly invest in equities. They are considered more risky and volatile than, for example, bonds or cash. At the same time, the potential for capital growth is commensurately higher.
In addition, we do not provide investment advice and our investments are not targeted to a partner's particular need. We choose the best investments and we invest our partners' capital alongside our own. Therefore, you need to decide whether our investment strategy is suitable for you. Before investing with us please make sure that you are comfortable with our strategy. Feel free to get in touch if something is unclear. You may also want to read our latest investment ideas to be familiar with our strategy.
We believe that an asset management structure should achieve three objectives. First, an asset manager should be remunerated only if he delivers above market performance. Second, fixed costs should be kept to a minimum. Third, fees should be clear and simple. It is for these reasons that our fee structure is as follows:
- Management fee: 0.5% yearly of assets under management;
- Performance fee: 15% of the yearly performance above the return of the MSCI World Index.
For example if in a year we deliver a 15% return, while the MSCI achieves a 5% return, since we have a 10% outperformance, our fees will be as follows:
- 0.5% for management fee plus 1.5% for the return above the MSCI World Index (15% of 10% outperformance).
We do not charge entry or exit fees if funds are withdrawn on the 1st week of the year. However, if funds are withdrawn outside of this week, we charge a 2% exit fee. The reason for this is that we take a long term strategy, and we ask our partners to do the same.
We strive to achieve the best risk-adjusted returns.
In 2016 (first year for equity investments), our gross equity performance has been 25.8%.
Between 2010 and 2017, our gross real estate ROE has been 17% per year.
We achieve high returns by selecting high quality assets at an attractive price.
If you want to know more about investments and philosophy get in touch.