Oracle of Investing Brochure
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Transcript of Oracle of Investing Brochure
Oracle ofInvestingGrowing Wealth for our Partners
www.oracleofinvesting.com
Oracle of Investing TM
Copyright © 2013 www.oracleofinvesting.com
This information is provided by Oracle of Investing (OI)
and is issued solely for infor-mational purposes and does not constitute an offer to sell or a solicitation of an offer to
buy securities.
Reproduction without written permission is strictly
prohibited and will be pros-ecuted to the full extent of
the law.
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Our StrategyThe synergy of three perspectives. Highly-selective investments based on global macro, fundamental, and technical analysis.
Our FundOur flaship fund delivers excess returns. Incen-tives are more fully aligned than most funds as we win only if you win excess returns.
PerformanceGrowing wealth for our partners with a robust approach to investing. Our aim is to return at least 15% per year on a five-year basis.
How to JoinMeet our investment manager. Expect first clas business in a first class way.
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WelcomeOracle of Investing’s mission is to return at least fifteen percent per year on a five-year basis in a secure, responsible manner.
Do you want to obtain superior returns with
peace of mind? You came to the right place.
Our mission is to grow the wealth of our partners
more than they would grow it using other instru-
ments in a secure and responsible way.
With Oracle of Investing you can expect first-class
business in a first-class way. Integrity and excellence
are at the core of our partners’ characters and they
expect the same from us. Managing our partners’
resources is an honor and responsibility we take
very seriously and we work every day to exceed our
clients’ expectations in every way.
We invite you to discover why investors have chosen
Oracle of Investing.
Javier Gonzalez, PhD
Executive Director
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4SELECTIVE
How do we produce excess returns for
our partners? By being highly selective
in our investments. We only invest in the top 0.1% of secu-
rities, thereby vastly increasing our returns while keeping
the downside to a minimum. In order to be highly selec-
tive, we developed systems that allow us to monitor 10,
000 securities and alert us on the best opportunities at
any given time. Want to stay in the top 0.1%?
Take a seat
WealthierWe produce outstanding investment returns by being broad in moni-toring scope and highly selective in investment choice.
5INTEGRATE
Why view investing from a narrow
point of view? Most funds narrow
their investment criteria by a single mindset whether
it is buying cheap or fast-growing companies. At
Oracle of Investing, we select investments which are
simultaneously selected by three styles of investing.
INVESTIn investing it is as important to be
disciplined to follow the previously
established plan, as it is to have an outstanding
plan. At Oracle of Investing, discipline flows naturally
from thorough backtesting.
BACKTEST To obtain the our investment
signals, we assess excess returns
in similar past situations by rigorous and complete
historical precedent analysis. By backtesting we
estimate the return-risk profile of an investment and
avoid human biases of being in the moment.
PROFIT There is nothing we love more than
producing sizeable profits for our
partners in a responsible way. With the right
approach we deliver to our partners what they have
come to expect from us.
SecurityThe best way of minimizing risk is by being thorough in analyizing historical precedent before an investment is made.
Defense wins games, but what is the key to
investment security? Is it investing in AAA
securities? Or perhaps having tight stops? The best
security is being able to say no to most investment
opportunities; being thorough in researching, and of
only investing in the highest-quality opportunities.
If there are a thousand investment opportunities re-
turning 10% and 0% with 50-50 odds, it would tend
to yield 5%. An ooportunity with a 50% and 0% 50-50
odds would be expected to yield 25%. Thus, our first
line of defense if being highly selective before mak-
ing an investment and only investing if an opportuni-
ty has an expected return of at least 15%.
Our secondary line of defense is diversification-
and making sure position limits, levarage, and
short position limits are set at a sensible level. We
limit position size to 40% of equity when initiating a
position. For leverage and shorts, we limit our posi-
tions to 25% of equity when initating a position.
Moreover, we make sure we have an alterna-
tive facility to operate, tip-top compliance
and systems. Our auditors, custodian, and general
counsel are top-notch and you can rest assured we
take care of every facet of security, even unexpected,
low-probability events.
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PhilosphyBy selecting securities that pass the filters of three investment styles we secure the best opportunities.
MACRO
We use macroeconomic and
geopolitical input to identify in-
vestment opportunities accross
a broad array of asset classes
and geographies.
This strategy involves direction-
al trades and in-depth analyses
of macro-economic trends to
formulate investment strategies,
taking positions on the fixed-in-
come, currency and
equity markets.
FUNDAMENTAL
If the business does well, the
security will eventually follow.
We focus on businesses with
top operating performance
with growth and acceleration.
Companies with a durable com-
petitive advantage, great returns
on assets and equity, healthy
profit margins and accelerating
growth and income bought at
a fair price will generally have a
high performing stock.
TECHNICAL
Security prices tend to keep
momentum. When a stock price
is rising and accelerating on
high and accelerating volume,
breaking through resistance and
new all-time highs, it will tend
to continue rising. We monitor
securities for technical factors
and when securities pass our
macro, fundamental, and techni-
cal filters we are poised to reap
sizeable benefit for our partners.
The market rewards selective attention to high-quality investments.
PerformanceThe challenge of delivering results to our partners drive us to higher performance standards.
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Before joining Oracle of Investing, Dr. Gonzalez
worked as Equity Strategist and Equity Analyst
for Morgan Stanley, integrating fundamental analy-
sis from the market, industry, and company levels.
He also worked as a monetary economist at the
Bank of Canada, where he worked did global macro.
Dr. Gonzalez obtained a PhD in economics from
the University of Pennsylvania working along-
side world-class economists. Technically, he is gifted
having obtained #1 in a national math competition
and #3 in a national physics competition. Integrating
the three pillars: macro, fundamental, and technical
are part of our durable competitive advantage.
Oracle of Investing Fund LP is our flagship fund.
NY-based Wharton Global Capital, whose Exec-
utive Director is Dr. Gonzalez, provides investment
management and administration services.
External auditing services are provided by Deloitte
& Touche. The fund’s general counsel is Tennen-
baum Helpern from Syracuse & Hirschtritt LLP and
the custodian is Interactive Brokers LLC.
The fund manages resources for wealthy individ-
uals, partnerships, corporations, LLCs, endow-
ments, pension funds, trusts, employee benefit
plans, Keogh plans, and individual retirement plans.
Javier Gonzalez, PhDExecutive Director, Oracle of Investing
Oracle of Investing Fund LPFlagship On-Shore Fund
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JOIN NOWAll you have to do is verify you are an accredited
investor and request a set of partner documents at
[email protected]. After you receive the forms, please fill
and return, send scanned ID and wire the funds. Welcome to our
extended family! If you prefer us to assist you just call us at (212)
729-4318 and we will be happy to oblige.
Become a partner
10 2014CLASS A
GoClass A shares have a 1% hurdle
rate. Their management fee is
1% per year, paid monthly at a
0.0833% rate. Its incentive allo-
cation is one-fifth of gains and
has quarterly withdrawals. There
is no lock-up period. However,
there is a withdrawal fee for the
first six months of 5%, and 2%
for the next twelve months, after
which funds may be withdrawn
quarterly.
CLASS B
InvestClass B shares have a 6% hurdle
rate and no management fee. Its
incentive allocation is one fourth
of gains, with annual withdraw-
als. The lock-up period is one
year. Since 6% is the average
return of stocks in the long-term,
we do not win unless we deliver
excess returns. This arrange-
ment was pioneered by Warren
Buffet in the partnerships he
managed between 1956-1969.
ON-SHORE
ProfitProfits gained from the partner-
ship pay no corporate tax. The
minimum subscription amount
for Class A and Class B shares
is currently $50,000 USD. If you
would like to withdraw funds,
please give 60-day notice.
All shareholders receive a quar-
terly report on performance and
an audited annual report with a
letter to shareholders discussing
the year’s performance.
We offer shares in the partnership for every type of investor
11TrustHonesty and competence are the foundation of the partnership.
Trust in another individual can be
grounded in our evaluation of his/her
ability, integrity, and benevolence. That is, the more
we observe these characteristics in another person,
our level of trust in that person is likely to grow.
Ability refers to an assessment of the other’s
knowledge, skill, or competency. This dimension
recognizes that trust requires some sense that the
other is able to perform in a manner that meets our
expectations. How many investment managers can
compete in competence with ours?
Integrity is the degree to which the trustee adheres
to principles that are acceptable to the trustor. This
dimension leads to trust based on consistency of
past actions, credibility of communication, commit-
ment to standards of fairness, and the congruence
of the other’s word and deed.
Investment banks have their integrity structurally
compromised when their sources of revenue ema-
nate from conflicting objectives such as generating
volume, pleasing corporations to obtain merger
& acquisition business. At Oracle of Investing we
increase your confidence in us by fully aligning our
incentives with you.
12ALIGNMENT
We have a significant advantage over
other funds. If the funds depend on a
financial conglomerate, the entity might have conflicting
interests that might affect their investors. Other funds are
very narrowly focused, either in strategy, industry, or coun-
try. Why would you let go of the best opportunities in
order to do marketing? At Oracle, the are single-mindedly
focused on generating alpha with minmal risk. We win if
we deliver excess returns. As simple as that.
Make it count
ResultsOur systems obtain consistent excess returns in long-term testing with minimal variablity. Robust strategies for robust results.
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Our alpha-generating systems can help
you profit from identifiable market trends,
whether up or down. We use it to implement an
investment strategy and put the partnership in a
position to produce big profits during strong market
trends.
Our backtested results indicate an average
annual return in excess of the median. All results
cited are hypothetical and have not been achieved
in an actual portfolio. The back-tested and real-time
results are based on taking 100% positions in the
specified instruments on a buy or sell signal, and liq-
uidating to a 100% cash position on a neutral signal.
The results shown are intended to give an idea of the
model’s effectiveness in identifying market trends
based on back-tested and real-time hypothetical
results.
It’s easyBecoming a partner is easy as 1-2-3-4. We love to partner with like-minded individuals. It is a pleasure to be in business with people like you.
FOUR EASY STEPS 1. The first step is to request an application at partners@oracleofinvest-
ing.com. We will reply by sending you the necessary documents through
EchoSign. 2. After reading the Private Placement Memorandum and LP Agreement, please sign the
Subscription Agreement in pdf, save it, and send it via reply to our email. EchoSign satisfied the E-Sign
and UETA, making the signed documents equivalent to mailing the originals*. 3. Send scanned
government issued ID to verify your identify. 4. Wire the funds to the Oracle of Investing Fund LP
account and enjoy the privileges of being a partner!
Residents of the following countries can send documentation via email: Australia, Canada, Chile,
Colombia, Finland, India, Ireland, Japan, New Zealand, Peru, Philippines, Portugal, Singapore,
South Africa, South Korea, Spain, Switzerland, United Kingdom, and the United States.
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Start todayJoin the Oracle of Investing partnership and obtain the benefits of membership.
Start at
www.oracleofinvesting.com
MAKE IT HAPPENHave any questions? Our associates will be delighted to answer them. Please call us at
(212) 729-4318 or email us at [email protected] and we will gladly
assist you with the process of becoming a partner. You will be glad you did.
www.oracleofinvesting.comORACLE of Investing
Oracle of Investing
228 Park Ave SNew York, NY 10003
Phone (212) 729-4318
Email [email protected]