Momentum Offshore Fund
Is an actively managed stock fund.
* 95% have not even beat the stock market averages in the past 15 years. So your granny buying an index fund and forgetting about it has performed better than all but a few of the Hedge Funds.
* They usually charge high fees (2%+ management, 20%+ of profits)
* They are too big to take advantage of occasional great stock moves.
* Too much red tape, corporate decision making, makes them slow to re-act. Any business trading stocks has to be hard/fast rules based. That can only do so much in regards to obtaining big Beta returns.
* High overheads are paid by the customer.
* why short the market during bull markets when the stock market goes up 80% of the time? The obsession in ALPHA hurts their returns.
My Main Advantage
The larger managers can’t exploit the niches because often they’re too small, and the smaller funds can accomplish that. And I think that’s really the answer. The bigger fund managers are just too big and when they have an idea they have to put $500 million into that idea. A smaller fund can put $10 million into a trade and realize 20, 30, 40, percent, sometimes 100 percent on those trades. And the bigger guys can’t do that. The smaller funds can move more quickly and there are many more opportunities at that level than there are for the bigger guys.
The bottom line is: everybody in my book, on either side of the Atlantic, wants an honest guy with a logical, scalable, sustainable program, with good risk management. There’s no real difference. Some could want higher returns, some might be more conservative, but at the end of the day, when I have identified a good manager generally everybody invests in him.
At the end of the day, everything’s driven by performance, risk adjusted returns.
No management fee
Keep it relatively small to maintain superior returns
FEE: 20% profits (12 months rolling)
Be warned, the minimum in seven figures..not interested in small accounts.