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Interestingly, according to M* their one equity holding is Microstrategy, purchased in Feb 2021 -- I suspect b/c the company went bonkers buying Bitcoin in recent years so they may be using the equity as a proxy for actual cryptocoin? *shrug*
@LewisBraham it appears that they purchase bond funds that are experiencing a liquidity crunch...ie, IOFAX during pandemic sell off...and wait for them to recover.
@little5bee I'm not sure if you're joking but I don't think that's the strategy and only reflective of current positioning. This fund has outperformed its peers every single calendar year since its December 2013 inception with a very high expense ratio and little explanation as to why it has managed to do that. There were a number of years it's outperformed when there was no liquidity crunch.
The opacity, high fees, and the perhaps "too-good-to-be-true" element concerns me as well. It's not enough to see a fund has performed well. One has to ask why, then ask if that performance is repeatable, which you can't know without knowing why it did so well in the first place, and what are the risks to future performance--also can't know without the why.
Comments
It has a position in IOFIX and well as some other mutual funds.
The Microstrategy position was first purchased 2/28/2021.
The recent issues with IQDAX (Infinity Q Capital Mgmt) have made me hesitant to trust smaller shops that lack full transparency.