Fractional ownership makes racehorse ownership accessible to a wider group of people. By owning just a small share, the cost is divided into manageable amounts (this could be as little as a few hundred rand per month). However, as a part owner you still get 100% of the excitement and enjoyment. And, of course, you share in the horse’s earnings.
Our syndicates have produced a much higher percentage of winners than can be expected from breed averages, which shows that it pays to race with us. In fact, our record in breeding Grade One winners outperforms the benchmark by a factor of something like ten times.
There are a few important points to note with respect to our syndicates:
- we retain a share ourselves, so our money is committed alongside yours
- we often include the racing careers of fillies at no cost, which is massive added value
- depending upon the horses involved, the initial purchase price of the colts could be well below production cost
What’s the deal with the fillies?
The fillies are included in the stable on the basis of a no-cost lease. This means that you benefit from their racing careers, but they revert to Normandy Stud for breeding at the conclusion of their racing careers.
Do colts get sold?
Yes, it may happen that we get a crazy offer for a colt that is showing exceptional ability. It is also possible that some horses are sold when they appear to have reached the limits of their potential. The sales proceeds are distributed to part owners according to shareholding, after the deduction of any commissions or sales costs.
What happens when horses race?
You attend the races as if you owned 100% of the horse, in that you have access to the parade ring before the race, and space permitting, you will lead in the winners. We undertake to make hospitality bookings (cost for your account), so that the social aspect of the racing can be enjoyed.
What about stake earnings?
The prize money for a race is divided amongst the first five finishers, with the majority going to the winner. The trainer, jockey and groom all get a share of the stakes. In the event of a win, the trainer will levy an additional percentage. We credit the earnings to your monthly costs account. If the amount is way in excess of what we expect monthly expenses to be in the short term, we’ll pay it out to you.
Who makes the decisions?
The syndicate nominee, Oscar Foulkes, in consultation with the trainer. However, as far as is practical, these will take into account the wishes of the majority of shareholding.
How will I know what’s happening?
You will receive a monthly update, bearing in mind that it could take six to 12 months before a horse has its first race. Pre- and post-race reports are distributed via WhatsApp groups.
What are the monthly costs?
Training fees and routine veterinary care cost up to R15000 per month per horse. You will pay a pro rata share of that, determined by your shareholding.
What about NHRA?
The National Horseracing Authority is the body that polices horse racing. You would need to register as a fractional owner, which is a simple process with a nominal charge.
Is this an investment?
Our aim is to reach a point of covering monthly costs with stake earnings and sale of horses, but this cannot be guaranteed. A very small percentage of racehorses deliver a profit (i.e. covering purchase price and monthly expenses). So, this cannot be regarded as a financial investment. If you regard your contribution as an investment in entertainment, you will get a return.
What share can I buy?
Our minimums are based upon the number of horses in the syndicate. In one of our syndicates we have partners who own as little as a 1% share.