Black Rock Asset Management Explained: In-Depth Projection of NAV value and expected Dividend Growth

Black Rock Venture Capital Limited (Public Company)
Address: Koteshwor-32, Kathmandu
Contact on Whatsup, Viber, Telegram & direct Call on : 9827351732/9840549406/9819990867/9802348957

The primary objective of this company is to outline a comprehensive asset management strategy for a fund manager, focusing on Venture Capital & Private Equity, Equity, Mutual Funds, Debentures, and Bonds. The aim is to provide a
balanced approach to investment, considering risk, reward, and dividend capacity under various growth scenarios.

DIVERSIFIED INVESTMENT PORTFOLIO ALLOCATION
-Equity Investments (60%): Strong focus on stock market opportunities.
-Venture Capital & Private Equity (20%): Commitment to high-growth potential businesses.
-Mutual Funds (15%): Adds diversification with professional management.
-Debentures and Bonds (5%): Provides lower risk and stable income through fixed-income

PROJECTED 5-YEAR PLAN SHOWS STRONG FUND GROWTH, INCREASING PROFITS, AND DIVIDEND PAYOUTS
-Total Equity Fund: NPR 1 Million ( 10 Lac)
Expense Ratio: 3% of the total fund annually
Average Growth Rate: 20% per year
Debt to Equity Ratio: 1:0.5 (50% debt)
Interest Rate on Debt: 10% per annum
Average Dividend Distribution: 15% of annual profit

Here is a summary analysis of the provided financial projections data:

1. NAV (Net Asset Value) Growth:
Starting with an NAV of 100, it increases annually, reaching 223.26 by Year 5.
This shows a compound annual growth rate (CAGR) of approximately 18.0%, which indicates healthy growth in the asset value over five years.
2. Total Fund:
The total fund increases from 1,500,000 to 3,348,837.72, indicating a steady increase in assets, supported by equity and debt.
The fund size nearly doubles, driven by the increase in NAV and 20% growth targets.
3. Debt and Equity:
The debt is maintained at 50% of equity across all years, signifying a strategy that balances the company's capital structure.
Equity grows from 1,000,000 to 2,232,558.48 by Year 5, signifying reinvested earnings and capital growth. This shows the business is continuously reinvesting to support growth.
4. Expenses and Interest:
Expenses: Expenses are consistently set at 3% of the total fund, growing in line with the fund size, which maintains operational costs relative to fund growth.
Interest: Interest is calculated at 10% of debt each year, increasing from 50,000 to 111,627.92 by Year 5. This increase is expected with the rise in debt levels.
5. Growth and Profit:
20% Growth: The model assumes a 20% growth rate each year, which adds significantly to the fund, boosting overall returns.
Net Profit: Starting at 205,000, net profit grows to 457,674.49 by Year 5, reflecting the reinvestment of earnings and efficient cost management.
6. Dividends and Retained Earnings:
Dividends: The dividends are calculated at 15% of the net profit each year, resulting in a payout that grows from 30,750 to 68,651.17 over five years. This approach balances rewarding investors while keeping funds within the business for growth.
Retained Earnings: Retained earnings increase from 174,250 in Year 0 to 389,023.32 in Year 5. This reinvestment strategy contributes to the growth of equity and NAV, supporting the long-term growth trajectory.
7. General Observations:
The financial model indicates a balanced approach, with consistent growth in both NAV and Total Fund due to the reinvestment of retained earnings and controlled debt levels.
The profit growth trend shows that the business is scaling well, with expenses and interest remaining proportional to debt and fund size.
The dividend strategy allows for consistent payouts while ensuring that a substantial portion of profits is retained to fuel further growth.

Summary:
This data outlines a well-structured financial growth strategy with a mix of debt and equity financing. It follows a sustainable growth model, maintaining a reasonable level of debt while reinvesting retained earnings to support future expansion. The 20% growth target each year suggests ambitious goals, balanced by a controlled expense ratio and consistent profit margins. The dividend payout policy is also investor-friendly while supporting long-term capital appreciation.

[lalsinbhat]

हामी खाडी मलेसियाको लागि दस लाख बढी भयो एकलाख देखि माथि भएको भए अति राम्रो जे होस good luck

[puravsubedi]

Your initiative is commendable; however, allocating 60% solely to the stock market & trading 40% presents significant risks. A more balanced approach would be to allocate 50% to stocks and consider at least 10% in industries offering fixed returns, such as becoming a promoter of a manufacturing company not yet listed on NEPSE. Additionally, the six-year lock-in period is a deterrent, and the initial investment of NPR 1 million is not accessible to the general public. Reducing it to under NPR 500, 000 would enhance investor participation and contribute to better corporate governance. Overall, you’re on the right track—keep up the good work!

[ExploringtheHimalayas]

The future outlook appears unfavorable. In the video summary, industry investment is zero. In Nepal, relying solely on stock market investment is not enough to generate substantial wealth, as other factors such as economic stability, political conditions, and individual risk tolerance also play significant roles.

[rpg]

I am interested to invest in this project thank you.

[theaayaaraa]

कम्पनी दर्ता र प्यान नं लिएर मात्र यो सबै काम गर्न पाईन्छ? कम्पनीले काम शुरू गर्नुभन्दा पहिले सम्बन्धित निकायबाट इजाजत लिएको छ छैन त्यो सबै clear हुन पाए हुन्थ्यो सन्दिप सर।

[AnilYadav-lyfb]

Namaste Respected Sir,
Please Minimum Investment Amount 5 lakh gardinu.... Hami laai ramro

[ashokatreya]

Interested to invest in black rock venture.

[rupendrasharma]

Aile invest garera 3 barsha bechna na paune ani feei paxi ipo bata aaye paxi pani 3 barsha ta lock in hunxa nai
Total 6 yrs lock in hune vayo?

[dambarchemjong]

Risk free kasari mahasus garna sakxau hami investers le bhanne kurako pani inform gardinu hola

[Rimthim]

Hami gulf ma basne lai hela vo sir..minimum 1 lakh hunu paryo..kina ki 10 laakh kamauna hamlai 2/3 barsa lagxa

[lpbhatta]

concept ramro ho sir but 1m dherai bhayo 5laks samma thik hunxa

[shivabhakth]

Hamro Nepal ko black rock investment company Lai Pani Nepal ko no 1 investment company banaunu parxa sir

[hindudharmadarshan]

minimum 1 lks ra maximum 1 cr gareko bhaye ramro hunho