DGD: Dragon Global Diversified
Integrity and Honesty are our greatest assets.
Total shares: 557,257
Prospectus
Company Tagline
Integrity and Honesty are our greatest assets.CEO's Real Life Name
Ben VarneyCEO's Real Life Location
Kentucky/U.S.Board of Directors
No other employees required or wanted.Cash on hand
16000Land owned
1Tangible Assets
100000.00Monthly Income
1000Monthly Expenses
100Maelstrom Baphomet
Many of you have come forward in the past wanting to participate in my portfolio because I do a lot of research into the operations of a company before I buy into them heavily and because of my reputation for being able to day-trade even the most absurd of spreads semi-profitably. Now is your chance to do just that and if you wish, take a little of the trading responsibilities off your own shoulders. I of course cannot guarantee a specific rate of growth, but I will do my best to make us all wealthier individuals.Business Overview
The partnership is a basic trading partnership seeking to appreciate share value and declare dividends and gains over time.Business Strategy
Multiple Revenue Models:Model 1 (Simple): Accumulating interest through cash deposits in banks in SL. Right now I only use AVIX as I'm COO there and am confident in its operations and liquidity Expected revenue: 500-1000 monthly based on current portfolio, greatly variant depending upon the invested amount of the expanded partnership.
Model 2 (Stocks Long Term): These are positions I plan to hold over time for the partnership, they are dividend generators. I plan to distribute long term holdings between all stocks on any exchange that have a dividend history of >5% declared monthly, regular dividends. These companies must also have a sold history and reputation with a strong revenue model for the future.
Model 3 (Flip Trading): I plan on taking 100 shares of even the most supposedly worthless of stocks and trading them if their spread exceeds 15-20% and they are still maintaining volume. The 100 share limitation prevents damage to the partnership if the fund gets stuck with a bad stock, but is a nice way to earn a little extra cash on the side.
Model 4 (Researched Accumulation): Time to time it graces my ears of something particularly special about to happen to a given traded share, whether it be a new product release or a disastrous month of business. When this happens I will use this knowledge to maximize gains.
Model 5 (Market Maker): This is similar to flip trading, but with one major difference, it will be with the fund itself. I intend on providing as much liquidity to my shareholders as possible. I will buy back shares at 75% of NAV of the fund and sell shares back at 125% of the fund. However combined CEO and Company controlled shares will never fall less than 51%. Control will always be maintained. The availability of this feature, however, will depend heavily upon partnership liquidity and share availability in excess of the 51% retained shareholdings range for the partnership.
Model 6 (Reinvestment of treasury stock dividends): I will only be alloted a number of shares to equal my investment. The company will be assigned shares to itself and I will not benefit from these personally, the rest will be going to the public. Company share's dividends will be used to reinvest in the market as well as build a fraud reserve and a principle protection reserve. The detail of the fraud reserve and the principle protection reserve are shown below in business strengths.
Model 7: (Crash/Spike Exploitation): I call this the "if dumb stuff happens" model as it almost always does in SL. Basically you put in a 100.00 linden value order in on the bottom of all stocks for 10000 at .01 and hope you can flip it before a company crashes if it's on its way out of business. Revenue returns are exponential, but rare. Spike exploitation does the same but focuses on making a few shares available at a very high price in case someone is wanting to buy as many shares as possible at any cost or places a very dumb market order.
Model 8 (Hypothetical Land Ownership): The fund currently has not diversified into land manage, but if it finds the market worthwhile it may eventually. For now it tends to let other companies focus on this asset.
Model 9:(Bonds): Some companies are starting to offer bonds, we are evaluating the validity of the bond model in the SL market.
Business Strengths
Fraud Reserve: 20% of all long term trade positions will be place into this reserve. It is meant to shield the value of the partnership in the event of a catastrophic share value collapse or a freeze of a traded symbol due to fraudulent activity. Over time it may be proven that the size of this fund is unnecessarily large and if this is true, then the partnership will be diminished gradually and declared as part of revenue and dividend as Stopped Loss Gains. The Fraud reserve will be accounted for as a negative asset, even though it will be gaining interest for the partnership in its account until used.Trading and CEO compensation are the only real expenses of this fund. The CEO does not even have a premium account, thus value is protected. This will vary depending on profitability and size of the fund.
Principle Protection Reserve: This will be built up gradually and over time, but a fraction of all revenue will be moved into an alternate avatar account controlled by the CEO with the first name DGDProtected. It will contain in its linden balance an amount that will never decrease or be utilized by the fund once assigned, but increment over time. In the event of disaster falling the fund, it will guarantee the IPO value of the fund. As growth of this protection increases, it will be announced along with the % protected of the IPO value.
Use of Capital
The use of capital will be to buy and trade virtual securities, stocks, bonds, and mutual funds.A note on CEO compensation: The CEO will be compensated through dividends paid to his personal shares, atop this, 10% of company dividends will be paid to him. Atop 10% of dividends there will be a .01% Total NAV management fee Shareholder dividends of course will not be affected by this distribution.
CEO intention of buyback: The CEO wishes to note that since this is also his personal portfolio he will be gradually be buying back shares from the partnership and the market with his compensation and other SL earnings over time.
Partnership Growth:In the event that partnership company shares reach less than 40% of the partnership's ownership, a secondary offer can occur. This will allow for growth of the partnership. NAV will be recalculated regularly, anticipation is for the minimum of a weekly schedule at a specific day/time. Ex. Tuesday at 9 PM SL time.
Partnership Ownership as of IPO conclusion:
A. 100,000: Maelstrom Baphomet (Approx. the value of funds brought forward into operations, Locked for 60 days)
B. 500,000: Fund shares(401,000 Shares Locked 60 days, 99,000 issuable at 125% of NAV/share on the open market).
C. Public shareholders: 400,000
Dividend Policy: This partnership will not issue a dividend if it is not profitable for a particular cycle (month), but will instead focus on redeveloping any losses. It will not declare a dividend the first 1 to 2 cycles as it builds asset protection reserves. The faster the reserves are completed, the sooner dividends will develop.
Risk Factors
1. Global market risk: SL fails or the Linden becomes inconvertible. This is inherently unavoidable.2. Exchange Risk: is less than most funds as we participate on all exchanges in order to tap as many markets as possible. However, a collapse of any one exchange could result in catastrophic losses, which is why principle and fraud protection are being developed.
3.Company Risk: There are many corporations traded and this funds long term positions will focus on the best and brightest of the SL marketplace. Each company has its own level of risk and will be constantly evaluated and researched by the fund Manager. Appropriate actions will be taken as necessary to mitigate this risk.
4. Fraud Risk: This can statistically be planned for and avoided and can even be profitable to do so.
5. Trade Risk: This risk is associated with every short term trade position, it is the risk you cannot move the shares and get stuck with a devaluing stock, it is minimized by moving small amounts that trade rapidly on volume. The gains can be as good as 30% and often will cover the shortfall of any shares the fund gets stuck with that are "bad".
Dissolution Plan: In the event that the fund manager becomes unable to run the fund, he will liquidate all holdings. The speed of this will be determined by the situation. It could possibly result in a closure at market of all position and a liquidation of bonds, if this were to occur, all proceeds from liquidation would be distributed as a one time mass dividend, including the value of any reserves built up. If principle protection is at 100%, IPO investors may receive their money back. Please watch the news for Principle Protection development and remember that this protection as of yet must be developed.
Management
Maelstrom Baphomet - Fund Manager/TraderI. COO AVIX
II. Partner for Global Marktet Analysts, a dedicated exchange research group focused on impartial assessment of businesses.
III. Commissioner of the SLEC, a group dedicated to bringing fair competition into SL and to pressuring fraudsters into paying for their ill gotten gains.
Personal Motto: "In God I Trust."