Wednesday, February 1, 2012

Kinship Investments Fund update - January 2012


Welcome to our blog.  We are using this platform to acquire further interest in our Private Fund and to provide on-going information as to what we are doing and how we are progressing in this challenging field as a Private Fund.  Currently our status is that we are seeking capital in April and May of 2012.  We will start trading our systems in June 2012.  All results posted are theoretical gains from our systems that we track hourly.  Real results could differ slightly due to slippage or other factors.  Please contact lee@kinshipinvestments.com for further information.


Our 2011 Systems ended the year positive 7.80% (or approximately 7.41% with fees) which isn't too bad considering the Scotiabank Canadian Hedge Fund Index was a negative 3.77% for the year.  We have again acheived our goal by outperforming the S&P index for the year.  2011 was interesting to say the least for hedge funds.  It is a rare occasion that the general Hedge Fund industry under performs the S&P index.

But that's sooo 2012.. :-)

We were not impressed by our year end drawdown for 2011 on our systems (although this is an enevitable result of systems trading and was within our range of possibilities).  To help avoid these drawdowns we are required to further diversify.  We are now bringing together all our systems that we have.  These systems were to be brought online in the future when we had more capital, time, and resources.  We may not have capital but we at least we have time and resources.

There is a reason for everything, and not being able to raise our capital for 2012 quickly in November and December last year has left us opportunities for long term planning and current improvement.

Kinship is now able to provide smoother results and less drawdowns with three separate systems that allocate our total capital by a third to each.  Our risk per trade has been lowered from a 3% to 1% maximum level (on the average it is approximately 0.65% per trade).  This also means we have a lofty AUM (assets under management) ability of over $300 million dollars.

With the AUM that we are capable of and the results we are getting we now in contact with administrators, lawyers, other canadian hedge funds, and off shore professionals to deligently discuss our future after our private fund that we are currently setting up.

We are currently seeking $3million total for our private fund.

We are in discussions/negotiations with sales/marketing/brokers to accumulate most if not all our funds.  This is a very important step for us and we hope to have a sales contract in place very soon as we are looking to start our fund by June 1st of this year.

As I've stated there are many more things to notify our possible investors about such as changes to our fee structure, Kinship Investment ownership opportunities, and how our three systems are structured, but we will leave those to future emails / blogs.

We will end our email / blog with our current compiled (without fees) results for our three systems:

Results to end of January, 2012.
MTS Systems: +4.03% (complete)
VF Systems: +2.10% (complete)
STS Systems: Results are being compiled.

Lee MacFarlane
President
Kinship Investments Ltd.
cel (250-818-5330)
office (250-385-9132)
fax (250-385-9134)
http://www.kinshipinvestments.com/
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