Peter Spann???

J

juliezzz

Hi
Just went to look up Peter Spann website and it did not load. What has happened to him, and how is his Managed Property Trust going??
Just an interest. I was considering investing in this a short while ago and just heard of someone local (single mum w 3 kids!!) losing $100K in 2 months in an Australian property trust. Was not P Spann,m but apparently directors were siphoning funds for personal expenditure. Would have thought it impossible to lose on Prop trusts in the last 6 months if managed properly. Comments...
 
juliezzz said:
Hi
Just went to look up Peter Spann website and it did not load. What has happened to him...
Click to expand...


I assume you are looking for www.freemanfox.com.au ?

juliezzz said:
Would have thought it impossible to lose on Prop trusts in the last 6 months if managed properly. Comments...
Click to expand...

Depends on the nature and location of the said properties held by the trust. eg residential aprtments in Sydney may not have been the hottest things around in that timeframe.

Cheers,

The Y-man
 
Property Fox #1 and #2

I’m still here! :)

In answer to your question, there is mixed news.

Unfortunately one of our property funds has not done well so far. It’s down between 30% and 50%. Not a good situation for the investors (or us) at this stage. However I am determined to make it work and while being realistic about making additional promises I am still positive that we can make that happen.

Our second property fund is doing much better – it has just sold a number of properties at a good profit and our developments look on track to make a profit as well.

Hope this answers the question.

With regards to my personal website it is still a work in progress but you can use www.freemanfox.com.au and www.jornada.com.au
 
Peter

What's your take on the performance of the Macquarie Equity Enhanced Income Fund (based on your buy/write strategy) that you promoted heavily last year? Has it met your expectations given 14% was quoted as a return and as at end of Arpril the return is just over 8%?

Gazza
 
Peter Spann said:
I’m still here! :) Unfortunately one of our property funds has not done well so far. It’s down between 30% and 50%. Not a good situation for the investors (or us) at this stage. However I am determined to make it work and while being realistic about making additional promises I am still positive that we can make that happen.
Click to expand...

Thats a pretty big gap 30-50% to tell investors....!!

Wat did u buy to get it so wrong in this market?

Regards
 
Thats a worry...

Not sure how you could make a property fund run at a loss in the current market. ??
Is it the overheads the management fees or just the projects it is involved in ?

As much as I agree that it is a good thing to 'automate' the wealth process, I keep coming back to taking control and being hands on to have some say on where and how the funds are getting invested.

There are too many horror stories doing the traps atm with these funds with retirees and ordinary folk losing the shirts off their backs and their life savings. Scares the hell out of me.

We are still 100% invested in direct property and doing much better this year than we were last year.

kp
 
gazza said:
Peter
Has it met your expectations given 14% was quoted as a return and as at end of Arpril the return is just over 8%?

Gazza
Click to expand...

Higher return means higher risk to me. Not sure what 'risk level' was promoted for this product?

GSJ
 
kph said:
I keep coming back to taking control and being hands on to have some say on where and how the funds are getting invested.
Click to expand...

Me too! If it goes bad the only person I can blame is me.

I like the thrill of the chase too. I like the feeling of making a decision and seeing it pay off. It gives a far better sense of achievement and I believe the rewards are far greater in the long term.
 
Sultan of Swing said:
If it goes bad the only person I can blame is me.

I like the thrill of the chase too. I like the feeling of making a decision and seeing it pay off. It gives a far better sense of achievement and I believe the rewards are far greater in the long term.
Click to expand...

Amen to that.
 
GSJ said:
Higher return means higher risk to me. Not sure what 'risk level' was promoted for this product?

GSJ
Click to expand...

Hi GSJ,

There are 2 underlying funds in the product - a buy write fund and a dividend stripping fund.

There was also a put option to protect the capital invested and a 100% loan offered.

Cheers,

The Y-man
 
gazza said:
Peter

What's your take on the performance of the Macquarie Equity Enhanced Income Fund (based on your buy/write strategy) that you promoted heavily last year? Has it met your expectations given 14% was quoted as a return and as at end of Arpril the return is just over 8%?

Gazza
Click to expand...

Was that a fund that offered 100% leverage with prepaid interest?

Would a client be in the red after interest and fees, based on an 8% return?
 
Agree Y-Man. My understanding is the 8% is net of fees so it has already paid for itself this year, any more is profit. My concern is the market has been going gangbusters in the last 12 months and this strategy has only managed 8%, how will it perform in a slowdown?

I am in another Macquarie fund that has only done 4.4% to the end of March. Am busy preparing to exit that one as we speak. Will most probably break even on this one for the year due to rebate of comissions.
 
gazza said:
Agree Y-Man. My understanding is the 8% is net of fees so it has already paid for itself this year, any more is profit. My concern is the market has been going gangbusters in the last 12 months and this strategy has only managed 8%, how will it perform in a slowdown?
Click to expand...

The performance of buy-write and dividend stripping strategies do not necessarily correlate to a steeply rising market. I would expect it to outperform other share funds in a flat/gently rising market.

The reasons I had it in my portfolio was
1. generate some income
2. diversify in case the market did flatten out

I also had straight (actually geared) share funds that did go gangbusters over the past 12+ months, so quite happy with the overall picture.

Cheers,

The Y-man
 
Don and Liz said:
yes!! Putting deals together is addictive. Nothing beats it.
Click to expand...

I think it's great when people can do something they love. But while I have nothing against people enjoying wheeling and dealing I can think of a few things I'd rather be doing:
  • Playing with my children
  • Going for a bike ride up a long hill on a cold clear morning
  • Going back down the hill and stopping at a bakery on the way home
  • Having dinner with some good friends and talking about nothing and everything
  • Travel
  • Reading a good book in bed when it's cold, windy, and wet outside
  • Gardening
  • Star gazing
  • Discovering new music
  • ....

I could go on, but you get the idea. I'm all for doing your due diligence, but for me once that is done I'm more than happy to let someone else do the dealing. While I haven't invested in any of the products managed by Peter I'm glad there are people like him out there. I have done reasonably well from my non-IP investments in the last few years, and while I have paid a bit for some advice, and I pay a bit to fund mangers in fees, I have also grown my wealth with very little effort on my part. Maybe I'm lazy, but for me life's too short to spend it making money.

Enjoy the journey.

John.
 
WashingtonBrown said:
Still curious...what did the fund buy to get it so wrong in this market?
Click to expand...
It's actually not the properties (although they have not performed to expectation) - it is the share price that is down between 30% and 50%. The market is punishing the share price (admittedly for poor performance).

It originally did OK with some good profits distributed to shareholders - we then bought blocks of units in Sydney (conforming to our mandate of the time to buy / renovate / sell) just before the downturn there and have held them for about 3 years now. While the properties are good enough we did miss on the timing.

With a fund like this the costs to run it have chewed up significant funds. All our funds were tied up in those properties so we were unable to generate any income by carrying out the mandate of the company.

At the last AGM we decided to take a hit on the properties we were holding (by selling into a depressed market) to get those funds redeployed to "better" investments.

With the general buoyancy (although not a boom market) in property in Qld and other places people forget there are still parts of Australia in the doldrums.

As I said I am determined to make it pay one way or another for those shareholders who have stayed with it - after all it was always described as a long term investment.
 
You must log in or register to reply here.

Similar threads

S
Journey so far - $75k salary (average), 5 years, 10 properties
2 3 4
Replies
66
Views
24K
Simon L
S
K
20 US properties in 4 1/2 years
2 3
Replies
57
Views
14K
MTR
MTR
K
Very bad experience with a property managers
8 9 10
Replies
187
Views
52K
kristaje
K
J
BA Engaged - Should I start looking myself?
Replies
14
Views
2K
Logica
L
The Y-man
The Investor2009 Interview
Replies
1
Views
12K
The Y-man
The Y-man
Back
Top