FYI: The president of Sequoia Fund Inc. stepped down this week following large losses from the mutual fund’s position in Valeant Pharmaceuticals International. At one point last year the holding accounted for more than 30% of Sequoia’s portfolio. The mutual fund has outperformed the broader stock market since its inception and benefited from a run up in Valeant’s stock following Sequoia’s initial purchase in 2010. It purchased another 1.5 million shares last October. But the fund’s performance declined when the drug maker’s stock tumbled amid questions about its accounting and business practices.
Regards,
Ted
http://blogs.wsj.com/moneybeat/2016/03/25/as-valeant-goes-so-goes-sequoia/
