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Were I the PRBLX manager I would dump them like a hot potato as soon as I could. As the old saying goes, there's never just one cockroach!
I bought PRBLX b/c of its eclectic set of holdings and fairly solid history through several market cycles, not b/c it's an ESG fund. That said, I'm inclined to trim/liquidate for a bit to see how this plays out in the markets, even though it's "only" 5% of the fund. Plus it'll let me trim my equities a bit and free up some $$ to pay for my new car when it arrives.
I bought PRBLX b/c of its eclectic set of holdings and fairly solid history through several market cycles, not b/c it's an ESG fund. That said, I'm inclined to trim/liquidate for a bit to see how this plays out in the markets, even though it's "only" 5% of the fund. Plus it'll let me trim my equities a bit and free up some $$ to pay for my new car when it arrives.
Sounds like a good plan. The point I was trying to make earlier is that accounting for E, S, and G risks (that's what they are) among others is part of the fund's risk management approach, and the risk management over the years is what's made the fund successful: running about with the markets in good times, and protecting the downside in bad times.
On today's show Ric Edelman lit into them as I have seldom heard from him, with more new (and worse) historical detail than I have read. Also these clawbacks are complete nonsense; they are simply future forfeiture (fractional) of huge amounts and bonuses. No clawback to it. I am bummed about Parnassus and wondering whether I should take all this new cash and add to DSEEX / DSENX. (I am aware they trade WFC, yeah.)
After much thought, I closed my sizable multiyear position in PRBLX last night at approx breakeven.
Reasons:
- Waiting for the WFC thing to settle, it's their newest #1 holding. (For an ESG fund, let alone on trust issues I'm not sure I even want them to hold it anyway, especially as largest holding in that concentrated fund)
- Slightly restructuring my equity allocations in the OEF portion of that portfolio, and will keep me from using other $$$ already allocated to market purchases to pay for new car when it arrives next month.
I may well go back into it down the road ... WFC aside, it's been a fine fund and has excellent long term record.
@rforno Totally agree re their excellence, but have been so satisfied with DSENX / DSEEX outperformance persistence that I am not missing Parnassus yet. (Was reading recently about DOD, SDOG, RDIV, DTD and others in the uncovered-value space, and CAPE mostly matches or beats them as well. So that algorithm, if that's the right term, is working fine.)
Comments
Were I the PRBLX manager I would dump them like a hot potato as soon as I could. As the old saying goes, there's never just one cockroach!
I bought PRBLX b/c of its eclectic set of holdings and fairly solid history through several market cycles, not b/c it's an ESG fund. That said, I'm inclined to trim/liquidate for a bit to see how this plays out in the markets, even though it's "only" 5% of the fund. Plus it'll let me trim my equities a bit and free up some $$ to pay for my new car when it arrives.
For sure, though, they blew it this time.
Also these clawbacks are complete nonsense; they are simply future forfeiture (fractional) of huge amounts and bonuses. No clawback to it.
I am bummed about Parnassus and wondering whether I should take all this new cash and add to DSEEX / DSENX. (I am aware they trade WFC, yeah.)
After much thought, I closed my sizable multiyear position in PRBLX last night at approx breakeven.
Reasons:
- Waiting for the WFC thing to settle, it's their newest #1 holding. (For an ESG fund, let alone on trust issues I'm not sure I even want them to hold it anyway, especially as largest holding in that concentrated fund)
- Slightly restructuring my equity allocations in the OEF portion of that portfolio, and will keep me from using other $$$ already allocated to market purchases to pay for new car when it arrives next month.
I may well go back into it down the road ... WFC aside, it's been a fine fund and has excellent long term record.
Totally agree re their excellence, but have been so satisfied with DSENX / DSEEX outperformance persistence that I am not missing Parnassus yet.
(Was reading recently about DOD, SDOG, RDIV, DTD and others in the uncovered-value space, and CAPE mostly matches or beats them as well. So that algorithm, if that's the right term, is working fine.)