Mark Carnegie and Sergei Sergienko’s digital currency plans for doing business in pro-crypto Singapore
And don’t you know, there is a charge for everything.
“As part of this arrangement, the manager [MHC Digital Finance] will receive a commission payment calculated by reference to the Timex Spread from time to time (currently 1.00 percent).
It is a related party. With a minimum investment of $ 50,000, is it any wonder that Carnegie is so keen to coax punters into the pot of gold for crypto wins? When we asked the question on Tuesday, a spokesperson told us that the commission was “no longer relevant”, “suspended” and that no commission had been paid. When this happened, however, remains unclear.
Regardless, investors are charged a management fee of 2% and a redemption fee of 2% for any cash withdrawal in less than one year, or 1% if it is less than two years.
And we’re not even on the real stuff yet. Carnegie’s own letter to investors states that the fund aims “for returns in excess of 15%, regardless of market conditions.”
But it will suffer a 20 percent performance drop if the performance is much less than 6 percent. Hamish Douglass must be sweating watching how much Carnegie creams it.
Potential investors in Carnegie’s fund, which seeks to arbitrate price differentials in the crypto ecosystem rather than reverse the market (both ways), are told that such price anomalies “won’t last.” eternally ”.
“Eventually, the large-cap players will step in and narrow the price differentials.”
We can only hope that the same is true of the management fees.