I think reaching the 3 yr mark for my fund was a nice milestone. I also received some nice press, write-ups in a couple (smaller) trade magazines. And once you reach $10 mm AUM, you show up on more charts. But even the press coverage is a function of maintaining my performance for 3 years. I have a couple more opportunities for write-ups coming up in the next 3-6 months. I raised $0 new dollars for almost 12 months... and then 6 months later, I raised almost $6 million in two months. Explain that to me.
I will also echo that I have enjoyed and appreciate some of the color I have gotten from this thread. I am lucky in that I have built enough capital of my own that raising outside money is far from a necessity. It sounds like Heech was in a similar situation when he started.
Max drawdown on a monthly basis was about 5.8%. I believe max drawdown would be in the 7 or 8% range. Screen shot attached represents my main account, not including a secondary account and IRA accounts.
Pretty sick! Keep that up and no reason to ever take outside money. That said, no harm in forming some kind of structure and tracking numbers that way more professionally. I'd get the licenses out of the way, get registered, and get normal annual audits. Don't worry about raising money, just be able to answer the question "can I see yor audited financial statements - can I write you a check".
Thank you Heech. Last year was very good and I'm proud of my results. I still intend to raise capital at some point in the future. The core of my strategy is fundamental research. While there are many advantages to being nimble, I cannot really do the type of research I want to without a more meaningful AUM. For instance, I do not have any access to management teams, sell-side or buyside networks, where a lot of essential information is disseminated. Furthermore, I cannot do the depth of research I want to for most names, as I single handedly cover about 200 companies, which forces me to develop a more reactionary approach than I oftentimes would prefer. I am working on passing my CFA level 3 this year, and then becoming an RIA. Right now I'm very busy with just research, and trying to raise institutional capital is not a priority. Some of the comments on this thread have further persuaded me that raising money would be very difficult for me right now, so I have decided that its not worth my focus at this time.
Very nice job. Curious to hear what your average holding period is for a position given the fundamental nature of your approach? No worries if you don't feel like sharing.
I have three distinct time horizons. On the long term side, I typically attempt to hold for over one year, as long as risk reward remains fundamentally supportive. On the short term side, I have an intraday strategy. While few would associate intraday trading with fundamental research, there are some ways to do this. Finally I have a medium term strategy typically ranging from 2 weeks to several months.