Don't know where to put it, so I put it here

**afan** Fri Apr 01, 2005 10:22 am

Don't know where to put it, so I put it here
Setting up a fund?

I talked to some friends and recommended blast's news letter. But they said news letter is nothing if blast can not set up a fund. I told them blast only shows what he himself bought and his performance is really great, they still think there is not much different. In their opinion, if one is great in investment, he should have a fund as a proof.

Although I don't agree with them because I know blast better than them, I think their reason might be accepted by many people, and it might be one of the reasons that blast' group is not large enough. To my best knowledge, many people are actually very "lazy" in managing their money and a fund is the best choice for them. I don't know whether blast's dream is to be a great investor like Buffet, but I assume it is. So setting up a fund should be a matter of time.

Blast once said he won't set up the fund in the near future. I don't know how hard environment a fund is facing. I am just making a reminder :wink:

**jeep** Fri Apr 01, 2005 11:33 am

What I like the newsletter best is blast's analysis, which is what differentiates itself. It is great for enterprising investors or even passive investors, but not the lazy kind who doesn't want to have any control over their money.

It is a competitive market. Setting up a fund is not a day's work and there are already quite a few funds out there managed by value investors. Most small caps here wouldn't leave dent on the fund performance once the fund is large enough, which means a very different portfolio is required and the advantage of being small is gone.

**blast_investor** Fri Apr 01, 2005 12:39 pm

Currently, I have no plan to setup fund in near future.

This newsletter is not for everyone. It is good for those who are willing to buy and sell stocks themself with value investing, either actively or passively. This is especially good for those who like books of P Lynch, B Graham or W Buffet and need help on how to do it right.

Mutual fund has its problem. For example, window dressing fake run up. That is ripoff for mutual fund investors. But of course, most mutual fund investors are not aware of this.

Personally, I do not like mutual fund business model. Mutual fund has rigid regulations that can hamper performance. Newsletter gives subscribers control of their own money. Cheating like window dressing or market timing do not exist in newsletter service. Newsletter is also good for tax purpose because subscribers can buy and sell considering own tax issues (more frequent buy and sell for IRA account, no sell or hold longer for qualification of 1 year long term capital gain etc).

In the long run, it is possible that I will consider to enter managed account advisor business or even hedge fund in addition to newsletter service in the future. But that kind of service usually is for high net worth investors and most mutual fund investors won't qualify.

BlastInvest goal is to make safe and big money for subscribers. I do not forsee that I will open up a mutual fund in the future.

**afan** Fri Apr 01, 2005 2:18 pm

I see. I won't mention fund any more.

BTW, I agree jeep's oppinion on blast's analysis, too :)

**blast_investor** Fri Apr 01, 2005 5:30 pm

Thank for you and Jeep's praise of me.

Jeep has good point, small is beautiful. :D

afan wrote: I see. I won't mention fund any more.

BTW, I agree jeep's oppinion on blast's analysis, too :)