Following are part of the article published on 25.05.2020 in the Calcalist newspaper, correspondent Golan Hazani, on a new high-tech investment fund founded by entrepreneur and Israeli businessman Ztiki Kurland-Fuch accompanied by the Afik & Co. law office:
Israeli entrepreneur and businessman Ztiki Kurland-Fuchs raises USD 20 million from European and Israeli investors to set up an investment fund to operate in an unusual model. The fund will be based on a "Closed Investor Club" model that allows diversification of the investment composition at any time, by exchanging shares of the portfolio companies among the investors themselves without affecting the companies in which the fund invested.
According to the policy of the fund created by Fuchs, it will include a broad portfolio of investments and reduced investment risk.
"We are currently working to produce a group of investors oriented to a wide range of investment areas including automotive, technology, health, etc. The fund's model allows each investor to choose how its personal investment portfolio will be structured. When one of the investors wishes to exit the investment at any given moment, the Investor will be able to turn to other investors for a barter transaction that will be done without prejudice to the investment companies themselves.” Said Fuchs and added “The uniqueness is that there is a significant risk reduction by the fact that it is easier to exchange shares with the other participants in the fund, and to do so without any damage to investments at all. "
Under the fund's model, as published, the fund will choose investment opportunities customize to the fund's investor's profile. The fund aims to generate value for the investors so that whenever an investor decides to exit the investment, there is higher likelihood of selling the shares and obtaining a much faster liquidity compared to other investment funds working in the old-fashioned models.