Monthly Investor Update: Putting capital to work (from Investing Accelerator)

Eric Seto

Sep '24 • General discussion

In the last 2 months, we have started expanding Investing Accelerator through angel fundraising.

This makes it meaningful to start a monthly update for the company (which also improves transparency).

Just a quick recap of our strategy:

1. To expand the existing coaching business (to 1000 students)

2. To deploy the AI trading system (Friday) and build a track record

3. To obtain the licenses to start a hedge fund and serve institutional clients (then IPO)

Here's what happened in the last 2 months:

1. We successfully raised $250K in the angel investing round. So this capital is put to work.

2. We have increased the adspend by 20% which will bring in more leads and customers. For the YouTube Channel, we are getting 700 subscribers a month.

3. We have allocated more time and resources to improve the AI trading system. For reference, the average return for the last 4 years is 36% per year which is a pleasing result comparing to S&P 500 of 13% per year. We aim to build a track record that will be consistent with the model return.

4. We are reviewing the contract to register as an assistant portfolio manager in BC, Canada. This is the step needed before we can create a hedge fund. This registration will allow us to take on individual clients and manage registered investment accounts. This process will likely take 3 months.

Things that didn't go so well but are still working on:

5. For fundraising, we previously had $16 million USD in the pipeline but many investors did not commit for this round. We will improve the fund raising process and make it more effective for 2025. Multiple institutional investors approached us in 2024, which will be our focus in 2025.

6. For my close family fund raising, we possible can get another $250K USD in 2024 conservatively. On the optimistic end, we may be able to get $1M USD but this will likely be in 2025.

Next steps:

7. As I am closing the angel round in the next month, my goal is to raise the target share price from $10 USD to $20 USD to $25 USD for the next round. Our goal is to raise $20 million USD in 2025.

8. As for dividend, we will be paying our first dividend by end of September, which is very exciting. Our timeline is to pay 12% per year for the first 3 years, then increase it to 24% per year onwards.

Thanks for everyone's support.

If you have any ideas on how to fundraise faster, feel free to email me.

If you / you know anyone who would like to be an angel investor, here's the link to schedule a call with me: https://5mininvesting.com/fund-raising-round/

Cheers,

Eric

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Eric Seto, CPA, CIM

Founder of 5MinInvesting.com

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