Introducing KOSMO CAPITAL GM Ltd
Kosmo Capital GM Ltd
Kosmo Capital GM Ltd is a registered Company in England and Wales and is a Principal Trading Firm which intends to trade a myriad of products including but not limited to FX, Fixed Income, Commodities, Indices, Stocks, Futures and other liquid financial products.
Investors in KC are only HNWI, UHNWI and professional investors highly competent in financial products and the risks associated with leveraged trading.
Kosmo Capital GM is not a listed company, is not a Hedge Fund, does not solicit retail funds or manage external capital and will only trade its own capital.
What differentiates KC from most other investment vehicles is the aggressive focus on curtailing fixed costs allowing the business to require limited AUM to be operational.
KC has a ZERO fee policy, high ROC, low daily Capital at risk as well as other unique features (see the detailed prospectus in the annex).
The Nature of the investment is equivalent to a Zero-Coupon Structure with one difference: KC aims at returning investor’s initial invested capital in a scheduled manner as soon as the AUM cross the established thresholds as formalised in the business plan. This will allow investors to recuperate their initial investment before year 10 (if targets are met). In addition, investors own a stock option worth 10% of KC’s cash value callable in year 10.
PERFORMANCE & Stats
Budget Results factor in a series of conservative and prudent assumptions that allow for a greater level of latitude in reaching targets: P/L targets are assumed to be under-performed by 20% and the number of traders that are expected to hit their Stop Loss each year is 20% of the total.
Investors are allocated 50% of KC’s performance up to 200,000 GBP cap per annum per Investor or 2 times the initial investment (see Annex).
Daily ROC target will be between 0.5% and 2% of AUM. The Margin posted for trading will be below 10% of AUM on a daily basis which is then sub-allocated to each trader.
The compelling returns over time (see the Annex for illustrative purposes) are achieved by leveraging the AUM and critically by scaling up the number of Traders rather than requiring ever higher targets per Trader. KC’s Net Trading Result is retained within the company and increases AUM.
Profit Targets start from 500 GBP per day and gradually reach 2,500 GBP daily as AUM grow (see Annex). These targets are not aggressive and definitely attainable.
The Annex lays out the hiring program for additional Traders each year. Hired Traders join on a commission based only contract (40% of P/L after Operating Costs plus potential discretionary Bonuses decided by the FMs). Hired Traders are managed by the Fund Managers. The above-mentioned hiring program is extremely important in terms of diversifying risk and meeting return goals in a systematic way.
The cost structure is laid out in the Annex.
FUND MANAGERS & HIRED TRADERS
Fund Managers and Hired Traders trade FX, FI, Commodities, Indices, Equities, Futures and other liquid linear and non-linear financial products.
FMs waive their Salary in Yr1 and Yr2 and collect a percentage of their salary as a function of KC’s Net Result up to 100,000 GBP annually (see Annex).
FMs can be awarded a Bonus which will be added to their salary if the total EoY performance of KC is above the budget line (see Annex).
Hired Traders join on a performance-based remuneration (40% of Profit after Operating Costs) under a contract for services.
Hired Traders can receive a bonus on top of their performance commission when they exceed targets. These Bonuses are at the sole discretion of the Fund Managers.