Anantam International SPC Fund - 6 SP

  • We are now becoming a little concerned about the euphoria in asset markets, and hence we have added Cash to the portfolio. On top of that, GOLD allocation has also been increased as we believe that GOLD’s time correction is coming to an end, and we might be ready for a new leg up to new all-time highs in the coming months.
  • US fiscal spending continues, but the delta of spending (YOY) is now flattening out. We believe there is a growth scare just ahead of us, which is also reflected in the fact that only 10 stocks have accounted for 80% of the SPX’s returns since early April (start of Q2). We have been patiently waiting for an increase in high-yield credit spreads (expressed through SJB), which should coincide with a slowdown in US growth.
  • When we were looking at our portfolio attribution, we realized that our Africa investment, although very small, has finally turned around and was one of the biggest contributors to this month’s return. We continue to remain bullish on Africa and are looking at more ways to participate in the next frontier of growth.
  • Finally, we believe that based on the data and actions from Chinese authorities, we should see Chinese stocks outperform US stocks over the rest of the year.

Investment Objective

To provide with income generation and capital appreciation through investments in equities, bonds and other related securities of emerging and developed markets. This objective is to be achieved by investing in debt, quasi equity (including convertible bonds, warrants, etc.) and equity shares, both listed and unlisted in, developed, emerging and frontier markets.

Particulars Remarks
Minimum Investment $100,000
Minimum top up $1,000 and multiples thereof
Subscription Monthly last day of each month
Redemption Monthly, subject to at least 15 calendar days of notice
Redemption Free/ Exit Load 1% on AUM up to 1 year from the investment date.
Management Fee 1% per annum charged monthly on daily average AUM
Performance Fee 15% performance fee over hurdle of 7% (subject to high water mark)
Operating Fee On Actuals, capped at 0.5%p.a. on AUM
Hurdle Rate 7%
Fund Name Anantam International SPC Fund - 6 SP
Investment Manager Arpana Investment Management (Bermuda)
Auditor Forvis Mazars
Administrator Ohm Dovetail Global Admin (IFSC) Pvt Ltd

Benchmark Construction

Benchmark is a blend of Vanguard total world stock Index ETF (VT) - 34%, Vanguard total bond market ETF (BND) - 33% & VanEck Inflation Allocation ETF (RAAX) – 33%. ETFs are chosen for the benchmark to reflect the diversified nature of the underlying portfolio. Peers in the space typically use a 60:40 combination of MSCI World stock Index and Bloomberg global bond Index as benchmark.

The reason for including real asset as a part of benchmark - As early sings of multi polar currency world emerges, the efficiency of supply chains will be challenged pushing the cost of procurement upwards. As developed economies struggle through the massive debt burden creating an overhang on fiscal & monetary policies; real asset owners like commodity producers, efficient commodity procurers may emerge as winners. Inclusion of real assets in the Benchmark has increased the challenge for the fund as hard commodities act as inflation hedge.