Welcome to Hibernia
Liquid alternative equity strategies for qualified investors
We sell our products primarily through sub advisory agreements with other Registered
Investment Advisors.
Read on to see if our flagship indexed product might meet your clients’ investment
needs.
The Hibernia Small Cap Index
The Hibernia Small Cap Index is our flagship indexed equity product. It comprises 25 small cap stocks we selected after assessing the issuer’s reported revenue during the previous calendar year.
The Hibernia Small Cap Index is rebalanced annually.
We charge fees based on the strategy’s performance during the prior calendar year. The client pays 20% of the net profits with a high water-mark provision. We don’t charge anything if our strategy does not clear the high-water mark of the previous period.
At the end of each year the firm charges performance fee of 20 percent, the strategy must also out-perform the previous year’s high-water mark.
If you don’t make money past the high-water mark, we don’t make money, nor do we charge fees on money our clients already have. We base our fees entirely on what is earned for the client.
The Hibernia Small Cap Index is not a fund. Client custodians hold stocks purchased on our advice. All portfolios are SMAs.
Questions & Answers
An investment strategy that comprises 25 small cap stocks that are selected based on a company’s revenues in the prior calendar year.
Most of the stocks are listed on NASDAQ. Occasionally, an OTC stock meets our criteria, and we include it in the index.
No. Every January, we apply a proprietary formula to select 25 small cap stocks for the new calendar year. The mix remains unchanged until the first trading day in the following year.
No. Clients own all 25 stocks, all of which are kept in the client’s account until the next annual rebalancing.
Because Hibernia created the index in 2022, we have no real-time performance numbers.
Yes. We have backtested the index during the 11-years between 2012 and 2022. The accounting firm Longs Peak verified our hypothetical performance numbers.
Money invested in the index without interruption during that 11-year period increased approximately 2300 percent or 23 times before fees. So, if $100,000 had been invested at the beginning 2012 and left in the account until the end of 2022, the account would have grown to $2.3 million before fees.
Note: These are hypothetical results. They do not represent real capital gains by real investors in real time. But even past performance achieved by real investors in real time would not be guaranteed. Past performance cannot predict or guarantee future performance.
Hibernia charges no fee against the portfolio. Fees are charged against profits.
Fees are charged annually if the account outperforms the client’s high water mark. Fees are charged on outperformance only. We will accommodate customers who insist on a traditional fee that is not based on performance.
Hibernia deals primarily with other investment advisors.
Yes. Investment advisors must confirm that index clients are qualified investors who can afford to lose some or all of their investments and profits.
If you have any questions, please feel free to contact us at 610-679-9197 between the hours of 9:00 a.m. and 5:00 p.m. EST or EDT, or fill out the contact form.
Thank you for taking time to visit our website.