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DISCLAIMER
This presentation is not intended to solicit fund in any jurisdiction, or provide any financial tax, legal or accounting
advice.
The presentation does not comprise an offering of securities and cannot be relied upon to make an informed
investment decision. Please read the complete Offering Memorandum(s) for the Valhalla Diamond Fund before
making any investment decision.
The official Offering Memorandum(s) document is provided by Valhalla Capital Management Inc. in accordance with
applicable Canadian provincial law. This investment offering is pursuant to each province’s securities laws.
This investment offering is not insured or guaranteed and its value may change based on performance of the economy
and real estate market trends and activities.
This presentation may contain forward-looking statements such as “anticipated”, “believe”, “intends”, “expects”,
“target”, “potential”, “projected”. “should” or “should be” among others. Actual results may differ from expected
results according to a variety of financial, economic and market conditions.
This presentation is intended as an overview of the Valhalla Diamond Fund.
History of Diamonds
• Represent a Global Currency
• Used for Wealth Preservation
• Traditionally Viewed as investible assets – except in North America
• China, India, Russia, EU
• Opening of the Market space since 2005
• Institutional Funds and Ultra-High Net-Worth
• A double decker bus vs 3.27 Olympic swimming pool
• Non Speculative Asset
(Speculation: Gold @ 40% vs Diamonds @ 1%)
• Historical Performance of Investment Grade Diamonds
• Diamonds out Performs S&P 500
Why Diamonds?
Forbes January 23, 2012:
“A five carat fancy yellow diamond increased in value by 180% from 2001 to
2011. Compare that to Berkshire Hathaway Stock which increased by 52% for
that 10 year period and Coca Cola which grew by 42.5%
Why Diamonds?
• Diamonds vs. The Dow Jones and CAC 40
• Note the Recessionary Performance
Mark Mobius Quote
Portfolio Positioning
• An Independent Asset Class
• Excellent Inflation Hedge
• Superior Diversification Tool
• Lower Volatility than Silver,
Platinum and Gold
Market Watch, February 3, 2014:
“Mark Mobius Loves Diamonds” – Retail Investors want safety, and not just
from gold….other precious commodities will retain they attraction, but the fund
manager is an unabashed fan of Diamonds!
Portfolio Positioning
• Performance During Corrections
The Journal of Investing 2013:
“The one carat (white) flawless diamond series experienced the biggest gain in
value over the sample window. Posting an average annual increase of 6.4% a
year for 10 years, well outpacing the commodity index, the S&P 500…”
The Future of Diamonds
• An ever widening Supply vs. Demand Gap
KPMG Quarterly Commodity Insights February 2013:
“The demand-supply gap will widen in the medium to long term between now and
2020…these factors should see a steady increase in the price of polished
diamonds over that period”
The Future of Diamonds
Goldman Sachs, December 2013:
“…forecasts demand for Polished diamonds will continue to increase due to the
growth of the middle class in emerging markets. The bank predicts diamond
prices will rise…”
The Future of Diamonds
• Emerging Markets
RBC Capital Markets – Diamond Industry Outlook – May 2013:
“it appears China is adopting jewelry buying culture in a way that Japan did from
the late 1960’s”
Why Invest in a Fund?
• Access to Investment Grade Diamonds
• Greater Diversification and Return Profile among multiple stones
• Use of Registered & Deferred Plan Accounts – RRSP, TFSA, etc.