Fund Information

Key Disclaimer:

Do note this is not a hedge fund or asset management company. We have not obtained the securities commission license needed for asset management or giving financial advice etc.

 

A persons savings is one of the top 3 most important things in one’s life.

“The less you eat, drink and buy books; the less you go to the theatre, the dance hall, the public house; the less you think, love, theorise, sing, paint, fence, etc., the more you save – the greater becomes your treasure which neither moths nor rust will devour – your capital. The less you are, the less you express your own life, the more you have, i.e., the greater is your alienated life, the greater is the store of your estranged being.”

It represents all the pleasure and experience forgone for the sake of ones future. The decades of hard work. And as an investment manager, it would be highly unethical for us to manage this unless we know with a high level of confidence our capability to provide higher than average (index) returns or to meet the financial expectations of the client.

The fund in its current form, is for us to find out if we have that capability and provide a public track record that can be verified by third parties. 

I believe how the fund is structured reflects this motive very clearly.

 

Fund Unit Prices:

Dates

FBMEMAS Index

Fund Unit prices

Our Performance 

21 March 2017

12,406.35

RM1.007

 

3 January 2018

12,930.37 (+4.05%)

RM1.130 (+12.2%)

+8.15%

30 December 2018

11,537.30 (-10.77%)

RM0.927 (-17.95%)

-7.17%

6 May 2019 (YTD)

11,542.17 (0.04%)

RM1.055 (+13.86%)

+13.82%

Fund Structure

Currently, the fund is closed to third parties until the CMSL license is obtained. Till then, i will only be helping my friends and family with their investments. They are structured as follows.

Principal and Profit Guaranteed:

  • Principal is guaranteed.
  • Profit of the highest FD rate in Malaysia is guaranteed (Currently 4.65%)
  • Additional profit above guaranteed rate is split 60:40 in favor of the fund manager
  • Funds raised under this structure is limited to 50% of investment manager’s equity in the fund.
  • A minimum lock up period of 3 years.
  • This is structured as an IOU (“Is Owed Onto”).

 

Pure Alpha:

  • No guarantees on principal and profit
  •  Initial fee and Withdrawal fee of 0.5% is charged for transaction cost.
  • A minimum lock up period of 3 years.
  • Only available to me, the investment manager and sophisticated investors.

 

Management of your trading account:

  • No fees.
  • 3 year commitment period
  • A letter authorizing me to trade on your behalf for the 3 year period.  

 

Fund Principles:

This fund is a pure value, long term only fund, managed with the intention of earning good absolute returns regardless of how any particular financial market performs.

On occasion when the expected value is very significant in our favour, we may purchase financial instruments other than bonds and equities, such as options and warrants.

Our key tenets are

  1. Shares are not pieces of papers with prices that change every second, but fractional shares of a business.
  2. To employ low to zero leverage.
  3. Diversification.
  4. Long Term Only
  5. Volatility is not risk. Risk is the permanent loss of capital.

 

Fund Updates: 

2017 – Yearly Update and Memo to my Investors.

2018 – 6 month Update and Memo to my Investors.

2018 – Fund Update – We now have a credit facility.

2018 – Year End Update

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