A "Superfund" for Bulls & Bears
11/21/2003 12:00 am EST
"Not all mutual funds are created equal," says Eric Naimer-Roseman in his Commodity Traders Alert, an excellent service that cuts through the complexity of the commodities market. "This fund has a long record of posting huge profits in all market conditions, bull or bear. Indeed, this is not your father's mutual fund." Here's his commentary.
"It's easy to make profits when the S&P 500 Index is soaring; but the real test for a manager is to protect capital and even grow profits when times are bad. But if you pick the right mutual fund, you can make a killing too. Let me show you the star performer of the group right now and let me tell you why. Based in Vienna, Austria, Quadriga AG in Austria, was started by Christian Baha, a policeman with a penchant for trading commodities and financial futures. Baha developed his own proprietary trading software. Seven years after launching the fund, Baha now manages close to $1 billion in assets worldwide. Since 1996, the flagship Austrian fund, Quadriga AG, has earned a stunning 410% total return or 24% per annum.
"In November 2002, the company launched its first US product, the Quadriga Superfund Series A, LP. The minimum investment is just $5,000 and is IRA-eligible. (Quadriga, however, is still in the process of filing for distribution across the country. It might not yet be available in your state. Quadriga is registered in most US states, including California, Texas, New York, and Florida.) This is a great play on the commodity bull market. Quadriga trades global futures and options contracts long and short. That includes commodities, currencies, interest rates, and stock indexes. In 2002, as global stocks suffered their worst calendar year of returns since 1974, the Fund skyrocketed 56.2% in US dollars. And I think its performance in the next year and beyond could be its best yet. This is a very aggressively managed speculative fund. Only risk as much as you could stand to lose. I'm extremely bullish on commodities this decade, a US dollar bear market and rising interest rates in 2004-2005. This fund will trade these global trends with leverage and therefore, can potentially earn fabulous returns for the remainder of this decade."
(Editor's note: More info on this fund is available at http://www.superfund.com.)