Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
Support MFO
Donate through PayPal
Larry Swedroe: Star Manager Loses Luster: Ken Heebner
FYI: Last week, Financial Advisor magazine published a story announcing that one of the mutual fund industry’s oldest funds, run by one of its most enduring fund managers, Kenneth Heebner, went out of business when Natixis Global Asset Management liquidated its CGM Advisor Targeted Equity Fund. Regards, Ted http://www.etf.com/sections/index-investor-corner/swedroe-star-manager-loses-luster?nopaging=1
I owned CGMFX at one time and sold it many years ago. It seems, form review of Morningstar's Performance Report the few making good money, over an extended period of time, were Natixis and Heebner. I bought this fund as a spiff and made money.
@Old_Skeet: made the mistake of buying, but not selling. I got 3 good years out of CGMFX. Lifetime yield on that investment has been -7%. Was actually up about 4% before the bear reared its head, convincing myself that Heebner's massive short on T's would act as an inflation hedge.
CGM is miserable in a sideways market. And Ken's ego got the better of him after that one massive year.
I bought it near its inception and turned $5k into >10x that before I bailed, which made me realize the intersection of skill and luck investing streaks entail, also the wisdom of holding and having conviction.
Comments
CGM is miserable in a sideways market. And Ken's ego got the better of him after that one massive year.