ASSET MANAGEMENT

We believe in business diversification.  Diversifying allows you to better withstand times of uncertainty in the hospitality market. We can put 'under-utilised funds' to work by investing them into various instruments.

We will work closely with our Asset Management clients, and propose an investment portfolio that commensurate with the client's risk appetite and return expectations.  Below we give a brief overview of the various investment vehicles under our arsenal.

Foreign Exchange

Foreign exchange trading - forex trading for short - may have gotten a bit of flak for its supposed risky, get-rich-quick-scheme reputation.  While it is true that most amateur forex traders lose money in the long-run, we are proud to be one of that manage to reap consistent profits over many years.

Our forex investing strategies range from short-term reactionary trades that last literally a few minutes, to more speculative long-term positions that may last into months.  By carefully combining these strategies, we balance our risk to reward ratio such that drawdown is kept to a minimal, while maximizing returns at the same time.

Pros:

  • Low transactional costs

  • Many trading opportunities every day

  • Relatively unaffected by macro market conditions (unaffected by recession, for example)

  • Small capital requirements (high leverage available)

Cons:

  • Can still be caught out by Black Swan events

Options

Options trading is not a very well known investment instrument, and for a good reason; it is a complicated trading methodology to learn, let alone master.  We are proud to have an in-house Portfolio Manager who has spent years trading and perfecting his tradecraft in options trading.

An option is basically the right to buy, or sell, a particular instrument.  The practical applications of options trading are wide; options can be traded on stocks, forex, indexes, and other lesser known instruments.

One of the lesser-known tricks of options trading is that it tends to be more profitable when the global markets are in turmoil (yes, it is true!).  Therefore having options trading as part of a portfolio is a useful diversification strategy.

Pros:

  • Requires little upfront capital (can be highly leveraged)

  • Safe investment instrument when traded properly/conservatively

  • Provides more stable/predictable income compared to other trading instruments

Cons:

  • High transactional costs

  • Relatively low rate of return

Index

Index, or indices in plural form, refers to the main stock market index of a particular country.  In America, we usually keep track of the Dow Jones Industrial Index, or the S&P 500.  In the United Kingdom, there is the FTSE 100, affectionately referred to as "the Footsie".

In our portfolio, index trading refers to investing in a fund that mimic the performance of a particular index.  The stock market has been proven to be a good investment vehicle, when long-term view is taken into account.  For example, if one were to invest in the S&P 500 at possibly the worst time to invest in recent memory - right after the 9/11 tragedy in the year 2001 - by the tenth year anniversary in 2011, the S&P is actually up 9.71%, bearing in mind there was also the Great Financial Crisis in between.

Pros:

  • Low transactional costs

  • Long history of coming out of bear markets

Cons:

  • Long term (10+ years) outlook is required

  • Potentially even lower returns than the other instruments

  • At the mercy of the market; unable to get in and out of the market quickly

Binary

Binary trading is a relatively new investment instrument. In a nutshell, binary trading allows you to "bet" the performance of a particular instrument over a pre-determined time.  One such example: you may try to guess if the Dow Jones will finish above or below 22,000 at the end of a trading day.

Such simplistic trading methodology appeals greatly to the general public.  However be forewarned: without strict trading discipline and extensive market knowledge, one is almost guaranteed to lose money in binary trading in the long-run.  Our Portfolio Manager fortunately has developed a comprehensive, safety-first set of trading rules that allow him to trade binaries for a coupe of years now with significant rate of return.

 

Pros:

  • Very high rate of return

  • Relatively low transactional cost

  • Diverse underlying instrument to "bet" on

 

Cons:

  • Rare trading opportunities (when strict trading rules are applied)

  • Does not scale up well with huge accounts  

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HISTORICAL RETURNS

We stand by our assertion that our Portfolio Manager is one of the best in the industry in protecting capital and generating growth that is significantly higher than the comparable investment instruments.

Below are just some of the live accounts that are part of our investment portfolio.  Please be forewarned however that we cannot stress enough the importance of matching the client's risk appetite with the appropriate portfolio mix.  In other words, the returns of the accounts below may be different than a client's, depending on the client's risk profile.

Titan Trading Strategy

Trading mostly in the Asian session on the 5 most liquid forex pairs.

81% return in 2016

Maximum drawdown of less than 4%

Expected monthly return of 3-5%

Volta Trading Strategy

Scalping strategy with 5-10 pips of hard stops.

116% return in 2016

Maximum drawdown of 5+%

Expected monthly return of 4-6%

Vanguard Trading Strategy

Manual trades, slow-and-steady approach.

37% return in 2016

Maximum drawdown of 9+%

Expected monthly return of 4-5%

Precision Trading Strategy

Pre-Asian session trades, only on 4 pairs.

28% return in 2016, 128+% return thus far as of July 2017

Maximum drawdown of 22+%

Expected monthly return of 8-10%

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