WHAT ARE THE MAIN THINGS I NEED TO KNOW ABOUT OWNING A SHARE IN A RACEHORSE?
Proven Thoroughbreds is here to answer any question you may have either before, during or after the ownership experience. We have been in the game for more than 40 years and have encountered just about every scenario there is when it comes to racing. The most important thing is to enter with an open mind. Owning a racehorse is one of life’s unique journeys but most of all, it is an excuse to get together with friends or people with a common interest. We are here to cater for that, win, lose or draw.
WHAT ARE THE PERKS OF BEING AN OWNER?
The most obvious one is prizemoney which is paid into the nominated bank account of each owner, according to share percentage. Australia is fortunate enough to have some of the most lucrative prizemoney in the world. For example, a win in the metropolitan area of Sydney can pay a dividend ranging anywhere between $22,000 and $6.5 million! Ownership also entitles you to multiple members’ passes on racedays, complementary drinks and food in the owners’ bar, your name in the racebook and exclusive access to the trainer and jockeys in the mounting yard. A less obvious perk is the opportunity to meet new people, whether it be at the races or at one of our open days. Private stable visits can also be easily arranged.
AM I ABLE TO SELL MY SHARE BEFORE THE HORSE RETIRES?
Yes. An owner, as an equity partner in the horse, has the right to exit. If the request to exit is based on the horse’s performance, then it is likely that Proven Thoroughbreds will encourage the entire syndicate to consider selling to an easier jurisdiction. Quite often the best way to navigate ownership is to re-invest in new acquisitions rather than spend money on the upkeep of a horse that has reached a limited level.
WHY ARE YOUR SHARE PRICES CHEAPER THAN OTHER SYNDICATORS?
A licenced syndicator may incorporate any items they see fit into a given share price. Inevitably, some turn out to be significantly more expensive than others. Proven Thoroughbreds chooses to omit items we consider to be unnecessary or exorbitant. For example, we do not pass on the cost of advertising to the consumer – we absorb this cost. We are a business that relies more on goodwill and word of mouth than relentless television/radio advertising. Further, the nomination fees for many of the big races such as the Golden Slipper and Blue Diamond etc can be forgone in most cases. Unless we have purchased a yearling bred specifically for juvenile speed, we believe the nomination costs for these races is not worthwhile. An itemised break down of our share prices can be found in the cost summaries on our AVAILABLE HORSES page.
HOW IS A HORSE NAMED?
When it comes time to register a horse, we will send a general email out to all owners requesting name suggestions. All names are compiled into a list which is then redistributed to the ownership group for voting on a pro-rata basis. After you’ve had an opportunity to review the name suggestions, we ask for your 1-2-3 preferences. The three most popular names are then submitted for registration, pending their availability which can be checked HERE.
HOW DO ONGOING COSTS WORK?
Proven Thoroughbreds’ cost model is one of our other points of difference in the syndication sphere. We have established long and trusted relationships with our suppliers, whether it be trainers, farms, pre-trainers, breakers, floating companies, etc… for this reason we choose to be billed for each horse in their entirety. This means all invoices are paid 100% in Proven Thoroughbreds’ name which saves the syndicate endless administration fees that would come if our suppliers had to individually split each bill. Under this system we set up a trust account for the horse that owners are requested to fund quarterly. Generally, each quarterly levy will amount to approximately $14,000 ($700 for 5% shareholder). For your peace of mind, we supply a rolling spreadsheet at each quarter to detail how funds have been dispensed. Visit our INFO & COSTS page for a more thorough description.
WHAT CORRESPONDENCE CAN I EXPECT ONCE I BECOME AN OWNER?
You will receive regular emails on your horse’s progress in photo, video, audio and written format. Generally, you can expect an email most days in the week preceding a race and at least once a week when they are out spelling or in pre-training. The phone is always open if you ever have a query. Jamie (0418 281 447) and Tom (0425 254 533) are more than happy to discuss any horses. Open days are also arranged throughout the year which provide an excellent opportunity to get up close and personal with your equine athlete.
HOW DOES PROVEN THOROUGHBREDS SELECT ITS HORSES?
Jamie Walter has been attending yearling sales in Australia for decades and since 2002 has undertaken the painstaking selection process of inspecting each and every horse on offer. In any given year, Jamie and our trainers will cast their eyes over thousands of yearlings. It is a time consuming, learned skill but a necessary component to the business. Rest assured the small number of horses Proven Thoroughbreds select have met a strict set of criteria and have received the seal of approval from their trainer-in-waiting. However, it is also important to keep in mind that every yearling, regardless of perceived flaws, has a price that is deemed to be value (Black Caviar turned out at the knees!).
CAN I SEE THE HORSE BEFORE I BUY?
Absolutely! We can easily arrange for a prospective owner to see a horse in a farm or stable environment. Attending our open days is also a great opportunity to see our horses and chat to the trainer.
WHAT HAPPENS ONCE THE HORSE’S RACING CAREER IS OVER?
We take pride in making sure our horses find a home after racing. Racing is in their DNA but they are also beautiful, kind natured animals that deserve a long and comfortable life. There are many post-racing activities to keep our horses stimulated and happy. Visit our RETIREMENT page for insight into the after-racing lives of some of our former gallopers (both slow and fast!).
WHAT ARE THE RISKS INVOLVED?
Proven Thoroughbreds is an approved promoter with the industry regulator and holds an Australian Financial Services licence (301464) so be sure that every possible measure has been taken to minimize your risk. However, as racehorse ownership is a speculative investment, there are some risks out of our control. Like human athletes, racehorses can sustain injuries which may require periods of rehabilitation. In rare cases, injury can precipitate retirement. Proven Thoroughbreds will have already taken out an insurance policy to protect your initial investment against mortality (from fall of hammer to end of that calendar year). For those who wish to renew insurance, we recommend Logan’s Insurance. For more information on insurance feel free to CONTACT US.