2009 – a successful year for the Expat funds

13.01.2010

With a yield of +18.66% for 2009 Expat New Europe Stocks ranks 4th among more than 100 mutual funds in Bulgaria. At the same time, the fund has comparatively low risk and volatility of prices.

Our strategy for 2010 is to look for stocks with very low valuations, as well as for special turnaround situations, to stay underinvested, especially in banks, and look for the "inflection point" of the market, to seek for portfolio diversification, and to look for short term price aberrations, especially in the less liquid stocks.

Despite the tough December for the Bulgarian stock market, Expat New Europe Properties rose by +1.0%. The fund had a positive year 2009 with a yield of +1.64%. It has actually recuperated most of its losses from 2008, and is now quoted at almost 99% of its initial value. Compared to the other mutual funds which target real estate market instruments, the performance of Expat New Europe Properties is very good. To the best of our knowledge our fund ranks 1st among this sub-group.

Just for 6 weeks since the beginning of the public offering Expat Bonds has achieved +2.34% yields. The return that we expect our low-risk mutual fund to reach for 2010 is +10-12%. Our goal is to have a higher yield than the bank interest rates, but having one major advantage – the investments in our funds are 100% liquid.