Aggregate Asset Management

A highly visible Singapore-based boutique value fund manager with a focus on listed Asian securities.

AAM

Country

Singapore

Sector

Financial Services

Funds Raised

SGD5.6 million

Deal Stage

Late Stage Growth

Deal Type

1exchange Live

Investment Highlights

Rare opportunity to be a shareholder of an Asian fund management company:

Singapore poised to benefit as a wealth hub from the strong growth in global net investable assets of high-net-worth individuals (+25% to ~US$70T by 2021 from US$55T in 2016 based on EY estimates). AAM expected to grow along with the rising affluence in Asia

Strong AUM and revenue growth track record:

Flagship fund grew from AUM of S$3M to S$500M in the 5 years since inception. Corresponding revenue growth (i.e. performance fees) makes AAM one of the top 20 awardees of The Straits Times Fastest Growing Companies 2019

Continued growth of AUM (projected ~S$1B in 4-6yrs) and revenue supported by:
  • Fee structure aligning manager and client interest: First fund manager in Singapore to offer a performance fee only model (zero sales charge or yearly management fee) along with a high water mark. Founders are also personally invested in fund. This strong interest alignment has attracted strong uptake by accredited investors
  • Extensive diversification which reduces risk and volatility: ~600 stocks in the portfolio (vs. 20-50 for other funds) – Clients value this risk reduction as wealth preservation is an important aspect
  • Process-driven investing: Stock selection is quantitative and metric-driven – Clients prefers this to a star manager judgement driven approach which also reduces key man risk in the long term
Managed by experienced founders and backed by a prominent Chairman:

Founders have 10-20 years of experience each in fund management, investment research, and financial planning. Chairman is a prominent Professor and was Founding Dean of a recognized Public Policy school as well as on the Boards and Councils of several institutions

Use of Proceeds

Build middle and back office functions

Boost research capabilities

Expand operations to eventually open up fund access to the general public

Realign capital structure - Founders to increase ownership of company

ABOUT

Aggregate Asset Management

Background

Aggregate Asset Management (“AAM”) is a highly visible Singapore-based boutique value fund manager with a focus on listed Asian securities

Founded in mid-2012, its flagship fund has ~S$500M AUM with >800 unique high-net-worth individual investors

Sticky client base with >95% of investors being individuals (vs. institutions)

Established track record in growing the client base, AUM and fund performance

Fund performance of +8% CAGR since inception (5-yr); 92nd percentile vs. other Asian funds with no use of leverage or derivatives

Financial Summary