Quadriga Superfund - Managed Futures

Quote from virgin:
is it standard practice that a fund takes a cut of the brokerage fees ?
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With many funds, yes. But Superfund uses its _OWN_ prime brokerage and charges hefty roundtrip fees on their future transactions. All fees wander into their own pockets because they do not wish to use a cheaper, bigger brokerage but wish to use their own, in-house one.

As fishy as it gets.
 
Quote from virgin:

is it standard practice that a fund takes a cut of the brokerage fees ?
More...

It is more common for futures funds than other types of hedge funds, but isn't standard practice by any means. Even among futures funds I'd say its in the minority. It gives the manager an incentive to churn.

Schindler Trading, for example, gets no brokerage commission compensation. The 2% management fee and 20% incentive fee are plenty.

Aaron Schindler
Schindler Trading
 
Quote from makloda:

Expensive, horrible performance last couple years. They rip investors off with ABOVE industry standard annual and performance fees and very high brokerage fees. If at least they would perform like they did in the 90s but it's just sideways churning since 3 years. Not that they care, they still make good money on the annual 5% base fee and the brokerage fees.
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They were up 20% last year net of fees. That puts them in about the 95th percentile of all funds out there. Over the last 10 years they are in the 99th percentile of all funds.

Let me ask you this. Answer honestly. What would you rather have, a fund that returned 10% last year but charges no fees or a fund that returned 20% last year where they took 50% of the profits and charged high fees? At the end of the day, what do you really care about?
 
Quote from virgin:

is it standard practice that a fund takes a cut of the brokerage fees ?
More...

I agree with Aaron...not standard and in the minority but it seems to be a growing practice. There are pools and FoFs out there who set up shop and look to make money solely on the commish of their selected funds. If you are a fund paying $5 per RT and making nothing on commish, they will give you accounts and charge $15 - if you let them do it. The $10 extra goes in their pocket. Of course it also comes out of performance.

It used to be that the middlemen would at least set up an IB to charge the higher fees, but I guess it's cheaper to just start a pool these days.
 
The thing about the fees is all it does it create a higher water mark to cross. If your numbers are good enough to justify then why not? Most traders could not overcome those fees. Kudos to them if they can.
 
Where is Qaudriga incorporated,licensed that they can publicly adverstise the way they do on television ?
And how come they have such low minimums to join ?
 
Ebo,

All things (performance) being equal, I'm all for lower costs. But if the cost has to go somewhere, then I'd rather to ads in Formula One since I'm a big fan!
Besides, the ads work cause that's where I found out about Superfund!
 
Christian has a Formula One Team, not just ads on the cars.
I made money in the fund and am out.

http://www.superfund.com/db/sponsorDetail.asp?id=105&Menu=4
Formula Superfund

"Superfund is opening a new chapter in the motor sports sector with the launch of FORMULA SUPERFUND. All racers of the series will compete in a newly developed racing car. The new and improved motor of the new “SF01” car has an engine output of 700 HP and a revolution speed of 11,000 rpm. The goal of FORMULA SUPERFUND is to bridge the gap to Formula 1. FORMULA SUPERFUND was initiated by the Austrian Christian Baha, chairman & CEO of the Superfund Investment Group, and is definitely in the fast lane. "

ebo
 
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