A Question and thoughts......

Puddnhead

I have an investment from......I'll say 1993.....long term, as one might say......that I'm looking to sell now. What I'm looking at is covered shares and uncovered shares......and that means what? The covered are higher than the share price now. Uncovered is much lower. The prices are: covered $30.92; uncovered $20.50. The fund is MDISX from back in the day of Michael Price......even the Pudd does some long term....lol. How do I avoid taxes? Add to IRAs or take it in the shorts? But this one wants to lower his market presence in case the Obese One is re-elected. Duke wanted me to add that he has lost some weight, so he is not one of the obese clan.

Thoughts:........what are your opinions on BERIX? I now have VWINX and BTBFX. Have been thinking about this fund. Also have added to FHKCX. Long neck wisdom says one should add to positioning where the government is stimulating. The Dukester says if they're giving out free bones, he's all in. Also have been watching CIPMX on a pull back only. With the Fed put and the fat one, things should go well for a while.
God bless
the Pudd

joe74

Was happy to own BERIX for about a decade, but bailed shortly after the sale to Chartwell. All the literature at the time gave no confidence that they were committed to the management team or expense waivers. I think the Morningstar Analyst Rating is downplaying the chances of management and expenses changing in the near future.

fundly

I also had the same experience with BERIX as joe74. Sold for the same reason and also because the fixed income portion is BB rated junk which will do very poorly if the economy tanks or equities fall. I put the proceeds in treasuries.

msf

If you're going to sell your whole position in MDISX, then covered vs. noncovered is meaningless. You'll just add the total cost of the shares together, subtract that from your proceeds, and report that as your gain. (Except that shares purchased within the past year will generate short term gains or losses.)

You might consider keeping a $1K position (the min for Mutual Series funds). You've got a grandfathered fund that gives you access to Z class shares of other Mutual Series funds. This is a question I'm wrestling with now, as I have roughly that amount in a Mutual Series fund for no other reason than preserving access. I'm wondering if it's really worth it. The funds tend to be cheap (low ER), and some day they may have good management. But someday I'll be dead. Not sure which one will come first.

fundly

If you reinvested all dividends and capital gains in MDISX since purchasing it and you are selling it all, you can subtract this all out from your proceeds as above to reduce the total gain and so your tax will be reduced also.

BenWP

From the perspective of the fund’s performance, I’d say sell without regret. There are better global offerings available. Not knowing if the sale would materially affect your tax bracket, it’s hard to offer advice. Maybe you have a loser or two whose sale would offset the gains in the fund you own.

Sven

I invested with Micheal Price when MDISX was a small cap value fund. Afterward it morphed into a global fund as asset grew and the company was sold to Franklin Templeton. The Mutual Series of funds were never the same. I sold majority of them, paid the capital gain and moved on elsewhere. For our taxable account, we switch to iShares Global Min Volatility ETF, ACWV that have small dividend and no capital gain distribution. Everyone situation is different but it is worthwhile to hear other's opinions.

Old_Skeet

Off-and-on I have held some of the mutual series of funds. Recently, I repurchased TEQIX because I was looking for a deep value fund with a global allocation perspective. Year-to-date it is the best performing fund within its sleeve with a total return of +8.24% and leads CAIBX which is up +5.63% and TIBAX which is up +5.73 through 2/19/19.

I have provided a link to it's fact sheet. To view, click on the link and then click on TEQIX Fact Sheet (PDF).

https://www.google.com/search?q=TEQIX+Fact+Sheet&oq=TEQIX+FACT+Sheet&aqs=chrome.0.69i59j0.2672j0j7&client=tablet-android-alco&sourceid=chrome-mobile&ie=UTF-8

msf

" Recently, I repurchased TEQIX ..."

This illustrates what I was saying about keeping a toehold in Mutual Series. Had you done so, you would have been able to have purchased the MQIFX share class and not incurred the 0.25% 12b-1 fee in TEQIX. Maybe not worth the hassle, though.