Jaroslav Ďuriš for the magazine Profi Poradenství a Finance
31. 10. 2022
JAROSLAV ĎURIŠ, founder of the WERO ČMEF SICAV fund, ČMEF AQUA Sub-fund
How do you assess the market development so far and investors' interest in using your FKI funds in their portfolio?
Considering the very short existence of the fund, whose investment horizon is more than seven years, it is still too early to make an assessment. However, if we look at this year's development on the capital markets, the forecast of which is still negative, we consider the growing client capital as well as the positive yield of the fund to be a very good result. We believe that our type of fund will find a solid place in the client's portfolio, as an instrument that is able, at least partially, to fight inflation, with a reasonable level of risk. Another piece of good news is the fact that the fund has already drawn over 71 million crowns to date.
How do you think the situation will develop by the end of the year? Will investors hold funds and wait, or will they actively seek opportunities for appreciation and minimize losses from inflation?
Since the fund's assets do not correlate with traditional assets such as shares or bonds, we expect a positive development in the fund at the end of the year as well. There will certainly be plenty of investors who will use money market instruments in response to rising interest rates. However, the experienced investor will look for instruments that will yield more attractive valuations; however, the price will be a longer investment horizon. And our fund also belongs here.
What would you advise investors and those interested in investing in your fund?
First of all, patience. Due to the low volatility of the fund and revaluation of assets once a year, quick results cannot be expected. However, the reward can be a double-digit appreciation in the long term.
What news are you preparing for 2023?
Considering the rise in energy prices, we would also like to participate and hedge against these market changes. This is so that, in addition to savings generated in water management, investments in the fund will also be made up of energy savings, for example for heating water, where we can reduce costs by tens of percent. We also see great potential in biomass and we are currently finalizing one transaction here that could be very interesting from the point of view of investment return and future cash flow fund.
How do you assess the market development so far and investors' interest in using your FKI funds in their portfolio?
Considering the very short existence of the fund, whose investment horizon is more than seven years, it is still too early to make an assessment. However, if we look at this year's development on the capital markets, the forecast of which is still negative, we consider the growing client capital as well as the positive yield of the fund to be a very good result. We believe that our type of fund will find a solid place in the client's portfolio, as an instrument that is able, at least partially, to fight inflation, with a reasonable level of risk. Another piece of good news is the fact that the fund has already drawn over 71 million crowns to date.
How do you think the situation will develop by the end of the year? Will investors hold funds and wait, or will they actively seek opportunities for appreciation and minimize losses from inflation?
Since the fund's assets do not correlate with traditional assets such as shares or bonds, we expect a positive development in the fund at the end of the year as well. There will certainly be plenty of investors who will use money market instruments in response to rising interest rates. However, the experienced investor will look for instruments that will yield more attractive valuations; however, the price will be a longer investment horizon. And our fund also belongs here.
What would you advise investors and those interested in investing in your fund?
First of all, patience. Due to the low volatility of the fund and revaluation of assets once a year, quick results cannot be expected. However, the reward can be a double-digit appreciation in the long term.
What news are you preparing for 2023?
Considering the rise in energy prices, we would also like to participate and hedge against these market changes. This is so that, in addition to savings generated in water management, investments in the fund will also be made up of energy savings, for example for heating water, where we can reduce costs by tens of percent. We also see great potential in biomass and we are currently finalizing one transaction here that could be very interesting from the point of view of investment return and future cash flow fund.
