ASIA PACIFIC FUND
On the equity side of our business, we invest only in long-term durable industrial projects. On the commodity and futures side of our business, the recent fluctuation in world markets has proven that long-only commodity portfolios cannot make money during downward cycles. For positive portfolio performance, a fund that holds both long and short positions in valuable commodities is the only way to limit losses and insure gains in any economic environment.
The asset allocation of the Fund provides excellent diversification.
With a low correlation to international stock markets, the Fund's aim is to profit from declining as well as rising markets in order to generate long-term capital growth.
No borrowed money is used for leverage.
In the financial world, the term "hedge fund" does not necessarily imply the use of "hedging" as commonly understood, as in the case where commodity traders would, for example, use options to "hedge" a commodity position.
In fact, the term "hedge fund" simply refers to any type of Private Investment Company in the United States that operates under certain exemptions from registration under the Securities Act of 1933 and the Investment Company Act of 1940.
The investment strategy of Asia Pacific Fund is modelled along the same lines as a traditional mutual fund, but with one exception: hedging is used during periods of market uncertainty and volatility to 1) protect our principal investments; and 2) to profit from such uncertainties. In addition: 1.) We assume a management-driven philosophy and become active in the projects in which we invest; 2.) We balance our overall corporate-wide portfolio between mid-cap blue chips, new venture equity and IPO's, and commodity market positions. We are successful because we employ a balanced strategy. Additionally, intermediate and end-use sponsors, including some of the world’s largest banks and insurers, protect our fund positions.
As evidenced by our continued growth — and industry-leading returns — the use of such a strategy has proven so successful that other funds have now begun to adopt this very same investment model in a bid to emulate our success.
But make no mistake — the success of any fund is, first and foremost, the result of its people.
Asia Pacific Fund is a no-load growth fund. We invest primarily in the stock of mid-cap companies with strong financials and proven, rock-solid leadership. Energy, communications, banking, insurance and manufacturing are the foundations of the fund, with our investment activities concentrated in the following geographic locations:
Eastern Europe and Russia
With the economies of Asia, Eastern Europe and Russia forecast to vastly out-perform the economies of the West for years to come, the decision to focus our expertise on emerging markets has directly resulted in the unprecedented growth of Asia Pacific Fund, as well as its industry-leading returns.
In short, we have the right people and the right investment model — and the returns to prove it.
Below are some examples of companies we have invested in:
HK China Gas
Randgold Resources Ltd.
Samsung Heavy Industries
With the economies of Asia and Eastern Europe continuing to expand at a rate far beyond that of Western countries, it is anticipated that the investment strategy of Asia Pacific Fund will continue to outperform standard equity and bond indexes for years to come, rewarding our clients with the highest returns in the money management industry.