Historical economic data supports the Shalehaven Co-Founders’ thesis: Direct hydrocarbon exposure in any investor’s portfolio provides considerable diversification value. While there are many ways to invest in the energy sector, Shalehaven is NOT your typical exploration and production oil and gas company, but rather is a unique energy investment STRATEGY.
For investors who seek tax advantages and the addition of direct energy exposure within their portfolios, Shalehaven’s annual funds are designed to be the most investor-friendly and risk-averse option in the alternatives market.
Shalehaven prides itself as offering the LOWEST FEE funds amongst other oil and gas offerings. This comes in the form of (1) zero upfront commissions or promote to the company (2) a low management fee, and (3) zero management upside until the investor is made whole on their investment. Even then, Shalehaven management’s upside is considerably lower than other funds’.
When investors research other offerings in the space, based on FEES and STRUCTURE alone, they have migrated to Shalehaven. And, with no intention of altering the fees and structure in future annual funds, investor migration will likely continue for years to come.
Consistent with Shalehaven’s portfolio approach to an energy investment STRATEGY, Shalehaven’s funds mandate a risk-averse approach to placing investor capital into PROVEN, DRILL-READY assets only. Without considerable nearby well data, Shalehaven categorizes assets as too exploratory for its model and will decline more opportunities than it will transact. Even more additive, utilizing the non-operating approach, each fund is significantly diversified across various assets, thus eliminating traditional concentration risk.
It is evident that many other offerings in the space take an approach of “selling the dream” in the form of a “wildcatting lottery ticket.” While there is a time and a place for exploration projects, investors have migrated to Shalehaven for its disciplined, risk-mitigated approach.