Ship-Funds and Ship Investments for Individual Investors
As a individual investor in a ship funds or ship participation you acquire equity stakes of a limited partnership (short in German: KG), which invests this equity together with bank loans (commercial bank loan) in a ship. Once the equity is raised, the so called placement time period is completed and no further participations will be issued. Therefore, this form of investment is also described as a closed end fund. In general, however, each major issuing company, which sells the shares in the ship funds, ha a platform that provides a secondary market trading. Besides you have independent exchange-trading markets, which provide a secondary market and secondary trading of closed-end funds as well.
As a rule the ship project is already exactly specified when the ship funds is issued. The calculation contains a lot of economic parameters which can be only estimated for the future. Because the success of the investment depends ultimately on the achievement of these assumptions, it is essential to check these carefully. Accordingly, the prospected rate of return is not a guaranteed return. It is an investment with all risks and opportunities of a business.
A fictional example illustrates the calculation
Main factors calculation
USD 41.4 million vessel price (= ship-yard price plus acquisition and distribution costs)
USD 26 million debt (= 62,8% of cost)
EUR 11 million equity (= 37.2% of the purchase price at USDEUR rate of 1.40)
EUR 24 million cumulative net inflows (= charter revenues - ship operations / ship management - financing costs and amortization - other management)
Project duration: 20 years
Results:
Total Return = about 219%
Current participation Objects
Please contact us or observe our side for offers of ship-funds.