Managed Funds 1st Quarter Distribuition

It would also require an updated PDS/compliance etc.

 

"One of the traders in one of the 'Market Wizards' books (the Black guy fom New York as I recall, if it isn't politically incorrect to say so) uses it ."

He is not the only one.
Do not forget that options are different instrument to trade which requires different strategies and techniques like futures or currencies. NI Fund is set to trade Stock Market - not options.

 

I don't see how this necessarily increases risk.
Suppose the Fund has bought 1000 shares at $50 and the algorithm tells you that you you would sell 900 of them at $100. Then you sell a call option for 900 shares at $100. Either the shares reach $100 during its duration and you get called in which case you have sold the amount of shares at the target price you would have sold them on the market. Or the share doesn't reach $100: you don't sell the shares and pocket the fee.

jenpalex

 

I can't see what's predictive about it. You only sell to the option buyer what you would otherwise have sold to a buyer on the Market.

jenpalex

 

If the strategy proved to add to returns, changing the PDS wopuld surely be worthwhile

 

Sounds interesting Sim

On the Subject of NI

I thought the more movement in the Market the better for the system which would've been great of late?

 

I don't want to start another thread so I'll ask my question here.

At what point in time must I hold navra mgd fund units to be entitled to the distribution ?

 

More distribution talk

Sim,

So if I purchase more units on 01 Oct, does that mean the unit price will be the price as is reflected after the distribution or is it the price of the units up until the distribution is distributed ie usually around the 12th of the month

Thanks

Bob

 

Thanks Sim.

These will be long term holdings, the acquisition of such will just happen to be around now.

 

Dr Lobster you might consider the tax implications of a dividend distribution. You are churning capital into income potentially if you invest just before a distribution is due. One issue to seek pro advice on perhaps.

Yeh it's interesting how much attention the NI fund attracts, for a fund that is one of many thousands it sure attracts a lot of attention from me and others, could be the forums we hang out at though

** edit, yeh Sim already mentioned that.

 

Hi Sim,

Since Navra Funds are invested only in Blue ship companies, would you expect more volatility than the one is currently happening?. Would that be a realistic expectation?.

One of the shares in the Navra AUS portfolio is NAB. I think last closing price for NAB was $36. In order for the Fund to make money with NAB, how much volatility does it have to show in the 3 months between distributions?.

I'm putting this example because I've thinking about it latly. The index has been moving between the late 4k and early 5k all along this quarter but, I see my investment getting backwards...

Am I missing something???

Rgds,

artgul

 

Artgul I can't speak for NI, but here's what they say in the most recent article on the website:

My emphasis.

Remember the minimum suggested investment term is 5 years...

Cheers
N.​

 

Resources seem to have come of the boil in recent weeks and have been reasonably volatile over the last few months. I imagine unless Navra is invested with a similar weighting to these stocks as the ASX it may have missed out on the volatiliy in that sector.

 

Any ideas on dividends for this quarter ? anyone ?

 

Somewhere between 1 and 1.5 % is my guesstimate.
The US Fund - maybe between 2.5 and 3 % possibly.

 

What still confuses me a bit, if I understood right, is that the NavTrade system loves volatility and doesn't suit a constantly rising or falling (I assume) market.

At Steve's last presentation I attended, he mentioned the last 2 years the market had a period of unprecedented upward movement.

At the same time, NI has returned roughly 20% p.a (or double the 10% used as the conservative estimate in any of the Navra seminar figures).

So I don't get why the fund did so well at a time when the market conditions shouldn't have suited it, and seems a bit slow at the moment when there is a bit of volatility ?

On top of that the US Fund where the volatility is supposedly ideal for NavTrade, had a bit of a backwards start but seems to be going up now.

So I have no problem being in it for the long term and surviving troughs and enjoying the peaks, but the question of where volatility really benefits NavTrade seems to me to be a bit different in theory versus practice ?

Any help appreciated ... ;-)

Cheers
Carl