1. How do I access up to date information on my horse?
Clanbrooke’s website incorporates a variety of communication options for co-owners. Customised individual horse pages, accessed via individual passwords, are a great resource. Updates, photos, noms and acceptances, as well as a variety of additional information is provided on these pages, and co-owners can elect, in addition, to receive email or SMS updates, nominations and scratchings etc.
2. Does Clanbrooke insure my horse and what does equine insurance cover?
In an effort to reduce the overall risk to Partnership members, our horses are insured (Leased horses excepted) from the moment of purchase for a period of twelve months.
At the end of the twelve month period, co-owners may elect to either;
-continue to insure their share with Clanbrooke's existing insurance company (owners may vary the amount for which they are insured), or
-choose an independant insurance company, or
-elect not to continue insuring their share.
Co-owners should be aware, however, that horses may only be insured against death or destruction.
At the expiration of the insured period, the Insurance company sends a letter to all co-owners to advise when insurance cover will expire. It is at that point that co-owners nominate their preferred course of action as outlined above.
Does this apply to a lease also?
As co-owners do not actually purchase leased shares, insurance does not apply to Leased Syndicates (as past and future earnings are not insured). Instead, it is the co-owners’ responsibility to insure the horse.
3. Do horses often return their purchase price?
Buying a share in a racehorse should not be regarded as an investment. Rather, it is a social and lifestyle choice that may, with a lot of luck, result in a financial return.
We outline in our official documentation (Promoters' Disclosure Notice) the following:
Each Owner hereby acknowledges that investment in Thoroughbred Racehorses is speculative and that there are inherent risks associated with the Ownership of a Horse/s:
(a) not all Horses offered for sale progress to competing in races and even when they do, they may not win, place or earn prize money.
(b) The rate at which a young Horse matures varies markedly and it is not
possible to tell with certainty at what point a Horse may be ready for the
(c) Injuries can be sustained that may delay or inhibit a Horse’s ability to race, either temporarily or permanently.
However, whilst it is true that many horses do not recover their purchase price at the track, in our experience it is also not necessary to outlay a large sum of money to race a successful racehorse. Horses that have been purchased for relatively small sums have won prize money that has exceeded their purchase price:
Previous Clanbrooke racehorses: Allanthus, purchased for $22K and syndicated for $45K returned over $180K prizemoney in his career, was Group 2 placed and the winner of the 2010 Bairnsdale Cup. Close Encounter, a horse Syndicated for $15,000 (purchased for $6K) amassed over $145K in his career, was a Group winner who placed fourth in the 2004 SAJC Derby. Emission, purchased for $22K, amassed over half a million dollars in winnings throughout his career whilst Ask the Music, a Leased horse, accrued almost $50K prizemoney in her first two preparations.
4. Who decides what races the horse should be nominated for?
Nominations for all Clanbrooke horses are ultimately made by the Trainer. Co-owners may offer their opinions via discussions with either the trainer or Manager at any time. Co-owners are consulted if the horse is to be nominated for a race that demands a large acceptance fee, or a race that involves greater than normal travel expenses, as co-owners will be billed for such expenses.
5. How do I pay my training fees?
Once the initial sale has been finalised, co-owners are billed directly from the trainer for training fees. Co-owners are also billed directly from ancillary providers such as vets, farriers and agistment farms. Clanbrooke charges a monthly `Management Fee.' The responsibilities of the Manager is outlined in the PDS and are largely administrative.
6. Why am I invoiced for my Management fee Annually?
The decision to invoice annually is a time saving mechanism. As the monthly fee does not change from month to month, we felt it unnecessary to send monthly invoices. Co-owners are fully aware of the monthly fee payable when they join the Partnership and this amount can be amended only in writing.
7. Must I pay the Management Fee annually?
Although we invoice annually, co-owners are not required to pay annually. Management fees are payable on the 15th of every month.
8. If I pay by Credit Card or Direct Debit, do I still receive an invoice?
Yes, we send all Members an annual invoice.
9. How and when is prizemoney paid to Members?
Prizemoney is paid directly to co-owners from the relevant State governing body (the State where the horse raced). Co-owners can update their banking details in the Racing Australia portal.
101. What is the duration of the Co-ownership agreement?
The duration of a co-ownership agreement is essentially open-ended. A decision to retire or sell the horse is made once co-owners have been consulted, the options outlined, and a 51% consensus amongst c-owners has been achieved. Sale proceeds are distributed to co-owners once sale proceeds are received by the Manager and all Members have paid any outstanding monthly Management fees.
On occasion, although a decision has been made to retire a horse, it may be decided to retain the horse for breeding purposes, keeping the co-ownership agreement intact. Co-owners have the option to opt out at this point.
11. Does this apply to a lease?
The standard duration of a lease is three years. In some situations, extensions can be negotiated with the owner.
12. What if I decide I no longer wish to remain in the Syndicate? Can I sell my share?
Where shares are owned (not leased) by the co-owner, that co-owner has the right to sell the share to any prospective purchaser for whatever consideration the two parties agree upon. However, any purchaser must be approved by Clanbrooke Racing and the new owner must abide by existing Clanbrooke Terms and Conditions.
If a co-owner chooses not to leave the co-ownership agreement until they have sold their share, that co-owner remains liable for fees until the share is sold.
Shares can also be advertised and sold on the Inglis Digital platform at the co-owners' expense.
13. Who decides when to retire a horse?
Although injury may necessitate that a horse be retired immediately, the decision to retire a horse is generally made when 51% of co-owners agree to the proposal. Sometimes, where a horse has not fulfilled expectations, an alternate trainer may be proposed. The decision to change trainers again resides with a majority decision of co-owners.
14. What happens to the horse?
Horses are sometimes sold to a co-owner or even the current trainer of a horse. Sometimes horses are listed at an appropriate William Inglis Sale, although the substantial fees required in order to do this may be prohibitive, particularly where a horse has failed to excel on the track.
Ultimately, the ongoing welfare of the horse is the highest priority and where there is no monetary offer for the horse but there is an option to retrain that horse for a new career, co-owners may be asked to contribute to this training for up to two months post-racing.
15. Do co-owners meet the Trainer? Other Members of the co-ownership agreement?
Clanbrooke encourages co-owner involvement and attempts to organize stable visits on a regular basis. Co-owners are advised of these visits in advance and encouraged to attend to meet both the trainer and other co-owners.