PAST PERFORMANCE & FEE STRUCTURE |
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PAST PERFORMANCE & FEE STRUCTURE |
NEWS | |
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Past performance of Baobab and its predecessor, managed by Mr Martin van Blerk.
| Period Ending |
BAOBAB (and predecessor) |
INDEX*
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NAV |
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| 1997 | $44.90 |
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| 1998 | 31.0% |
8.8% |
22.7% |
$58.82 |
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| 1999 | 26.3% |
9.8% |
16.6% |
$74.29 |
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| 2000 | 15.8% |
10.9% |
2.4% |
$86.03 |
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| 2001 | 20.9% |
-13.0% |
31.0% |
$104.01 |
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| 2002 | 13.5% |
-11.5% |
24.6% |
$118.05 |
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| 2003 | -16.2% |
-22.2% |
0.4% |
$98.93 |
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| 2004 | 66.7% |
8.5% |
24.7% |
$164.95 |
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| 2005 | -3.8% |
16.3% |
-16.4% |
$158.70 |
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| 2006 | 20.9% |
17.7% |
3.2% |
$191.81 |
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| 2007 | -3.8% |
20.4% |
-24.2% |
$184.49 |
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| Mar 2008 | -14.4% |
-14.5% |
0.1% |
$157.91 |
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Compound growth |
12.1% |
4.1% |
8.1% |
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* We believe that if we do our job of allocating capital efficiently, we should at least outperform the main benchmarks of the markets in which we invest. In the US market we should at least outperform the S&P 500, in Canada we should outperform the TSE 300, etc. Therefore, we use a very simple weighted index. We weight the respective indices according to the percentage of our assets invested in those markets. If we have 30% of our assets invested in the US, the S&P 500 makes up 30% of our weighted index. We believe that this is a simple, understandable and real benchmark. **We switched from the predecessor (Private fund) to Baobab on 2 February 2004. |
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NB None of the Private fund's results were audited. There is no guarantee that Martin van Blerk will be able to replicate his past performance.
Incentive Fee Structure
Our incentive culture has one very simple aim: to ensure that the person responsible for the investment decisions gets to eat his own cooking.
Firstly, Martin van Blerk as the allocator of capital is contracted to have at least 80% of his liquid assets invested in BAOBAB at all times.
Secondly, the management company, Cherubim Ventures (Pty) Ltd, receives 30% of the returns above bank interest as a performance fee - calculated and paid on a quarterly basis.
Thirdly, a temporary refundable management fee of 1% per annum has been implemented. The 1% gets subtracted from the performance fee, if any. Therefore, if we perform there won't be a managment fee. When the 1% exceeds general operating costs at BAOBAB it will be reduced to a fixed amount and, eventually, we will scrap it entirely. We will then be back to the same incentive fee structure we had at the 'Friends & Family'-fund. Guaranteed cash flow is required to carry us through the initial phase of Baobab while we are uncertain about the extent of the daily operating costs. Therefore the introduction of the 1% fee.
PLEASE NOTE that the above is a brief summary of the incentive fees. Consult the Fund Management agreement for full details.
Who is Marketocracy?
Marketocracy Data Services is a research company whose mission is to find the best investors in the world and then track, analyze, and evaluate their trading activity. The company's affiliate, Marketocracy Capital Management, is the investment advisor for the Marketocracy family of mutual funds and uses the research generated by Marketocracy Data Services.
Achieving Higher Returns With Lower Risk
Many experts will tell you it isn't possible to beat the market consistently, especially with lower risk. And the historical performance of most investors, including professional portfolio managers, supports their beliefs.
How have we done?
The Marketocracy m100 Index is an aggregate of the top 100 portfolios at Marketocracy. The m100 Index has beaten the S&P 500 Index by 65.2%, since inception, with a beta of 0.49
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Martin van Blerk established the Shibumi fund with Marketocracy in 2001. The Shibumi Fund reflects the American holdings of Baobab Global Fund for the most part. Marketocracy only allows investment in US listed securities. The orange line in the graph tracks the Shibumi fund's performance, since inception.
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