Despite a turbulent last 3 months of the year in 2018 our fund has experienced strong growth over the last 10 weeks during which time its price has risen. At the time of writing the CCM Intelligent Wealth Fund’s price is down since launch on 16.4.18. The value of the fund has reached a high of £8,479,655. It has been a topsy turvy ride so far.
At the end of September 2018 the fund was up after 4 ½ months. All was going according to plan and it looked as though the fund was set to achieve a first year return of about which was in line with its ghost portfolio back-tested “performance” pre-fund launch.
Then there was a prolonged period of poor worldwide stock markets’ performance between October-December 2018. During this time the fund moved from a rise to a fall. Over the last 10 weeks this price fall has reduced.
If this rate of price rise continues for the next 6 weeks the CCM Intelligent Wealth Fund will be in positive territory once again. Fingers crossed.
We have taken a number of bold decisions to get the fund back on track. We sold our 5 FAANG stocks as well as our 3 Chinese Internet stocks. We re-invested the proceeds into our existing stocks on a pro rata basis.
We decided to reduce our holdings of US stocks especially those quoted on the NASDAQ. We have decided to invest into more UK companies because the UK market is relatively cheap historically so it offers far greater value for money that the US market.
We took the decision to invest primarily into mid and small cap companies as these offer the greatest growth prospects. As Jim Slater said in his famous book, The Zulu Principle, elephants don’t gallop but fleas can jump many times their body height. In other words large companies do not grow as fast as small companies.. It
Furthermore we have decided to weight our investments 40% into the biotechnology and longevity themes’ shares (including pharmaceuticals) with the balance of 60% invested in shares represented by the remaining 7 themes of the fund. As pat of this process we have invested $750,000 into the shares of Juvenescence, a private equity company, which specialises in longevity. The company is expected to float on the New York or Hang Seng Stock exchange by way of an IPO within the next 12 months.
Whilst our fund has experienced a roller coaster ride in its first 10+ months of existence so far and its price is down currently I remain extremely confident about its future prospects. The CCM Intelligent Wealth Fund is invested in the 9 themes with the greatest growth prospects over the next 5-10 years. It only invests in innovative and disruptive companies. It is a semi fund of funds which has around 2,500 underlying shares.
So if you aren’t already invested in our fund what are you waiting for?Get in touch with us to find out how to invest. You know it makes sense.
