Q3-2016 Swiss-Asia Update

13th October 2016

As I write this, I realise that we are past the three quarters of the year. Time surely flies when you are having fun ! Looking at what we’ve already achieved for the year, I’m both humbled and amazed. We completed the largest fund on-boarding in our history, the Credence Global Fund, we have organized two Capital Introduction Events, Three Fundies Events, and added 5 Wealth managers to the team. These achievements did not go without some deceptions though; we have unfortunately had to close 2 funds and seen the departure of two Wealth Managers in Hong Kong.

On another note, I am also proud to announce that I have been elected as President of the Singapore Association of Independent Asset Managers (AIAM). Please read the published article written by HUBBIS here: https://www.hubbis.com/articles-content/5391/1474578320/Taking%20Singapore’s%20independent%20community%20to%20the%20next%20level

FUND PLATFORM

VANDA GLOBAL FUND. During Q3, we have launched the Vanda Global Fund. The Fund’s investment objective is to achieve sustainable capital appreciation via a well-diversified portfolio of equities, interest rates and commodities in the global markets. The Fund adopts a risk-weighted approach in its allocation of portfolio assets based on global macro trends and economic conditions incorporating a highly disciplined risk management framework. The Vanda Fund is currently not open for investment to outside investors. The portfolio Manager, Chin Eai Chong wishes to focus on building his official track record. Chin Eai was previously running the strategy under a Personal Account format for 5 years. Chin Eai has 20 years of Trading and Market Risk Management experience in diverse senior roles in Asia.

On the negative side, our Fund Platform is going through a phase of consolidation and change. One Fund is going through a strategy and manager change and two others have ceased to operate.

LANCING RELATIVE VALUE LIQUID FUND is undergoing major changes. Zahid Faruki, the Portfolio manager of the Lancing Fund has resigned after nearly two and half years of managing the liquid relative value strategy and is being replaced with Highline, an Investment Advisor based in Australia. In accordance with the Investors, the Fund will gradually undergo a shift in its investment strategy to invest in pre-IPO stocks and late-stage Venture Capital.

SWISS-ASIA GROWTH FUND Equity and Fixed Income has liquidated all positions and money has been returned to investors after 4 years of respectable positive track record for both the Equity Class and Fixed Income Class. The major reason for this closure was the lack of investor appetite for a Fund of Mutual Fund Funds. The sponsors of the Fund did not see any possibility to grow it in the near future and decided to allocate resources elsewhere.

SCI – SEA CAPITAL FUND has ceased to operate due to the fact that the shipping and commodity market sector in which it was trading has not been in favor and the situation would continue for an unforeseen period of time. The Portfolio Manager, Per Didrik Leivdal will be tending to his Corporate Finance business until he sees opportunities again in the shipping and commodity sector.

WEALTH MANAGEMENT PLATFORM

Senior Private Banker joins Swiss-Asia’s Singapore EAM Platform from SEB Private bank. Tom Sigerhall from SEB Private Bank joined Swiss-Asia in July. Tom focuses principally on expatriate Nordic clients living in Asia. Tom has more than 16 years of Banking and Wealth Management experience, of which 10 years in Singapore.

Susanny Djoko is another recent addition to the Swiss-Asia Wealth Management platform in Singapore. Susanny was previously with Swaen Capital Pte Ltd. Susanny specializes in Indonesian onshore and offshore clientele. Susanny has 20 years of Banking expertise and has always been based in Jakarta and Singapore.

In Hong Kong, we have seen the departure of Alex Walker, Dan Vovil and Carolyn Gary.

FINTECH @ SWISS-ASIA

Yes, this is a new section to the Swiss-Asia quarterly update. We seem to be foraying and adding quite a few technology pieces to our business in order to keep up with regulatory requirements as well as additional services for our clients. As a growing company we also need to ensure that we can create economies of scale across our business as a whole.

Middleware RECONS is an elegant piece of software that we have decided to develop with our Consultants from Telostat. This software enables us connect different third party software systems to our in-house systems efficiently and swiftly. We have two major uses for RECONS; First is to connect the Brokers with ourFunds PMS (Eze Tradar) and the Second is to connect the private banks with our Wealth Management PMS software (IRESS). This RECONS Software will also later evolve and enable us to reconcile data between all these different sources amongst other very interesting “fintech” applications that we will disclose at a later stage.

Phase II of the development is now in full progress with IRESS being connected to Credit Suisse Private Bank. More banks are to be progressively connected over the next 6 months, with at least 12 banks being connected by mid-2017. This will give us the unique competitive advantage of unifying the firm’s Wealth Managers with the latest technology in order to enhance its investment service offering.

Research and Advisory APP: We have also decided to start the implementation of our Research & Advisory APP – stay posted over the next few months for more information and gradual releases of this new addition to our offering.

With more exciting announcements coming soon, we can’t wait to communicate how we close off the year.

For now, we wish you an enjoyable fourth quarter.

Steve Knabl