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What a disaster 2022 has been for this MS 5 star Long-short fund that I own. Down nearly 20% ytd. Another great till it wasn't fund. Probably going to hold and hope for a bounce, but looking at BIVRX as a replacement in the same category. That one is up nearly 20% this year and has done well since inception. They guessed right this year (short U.S./ Long Int'l), it seems, while RLSFX seems to have stuck with its strategy (seemingly long growth short value) which has served it well up until now.


  • I have fiddled around with L?S funds off and on for years, but never had much success. I usually sell them if they loose 10 to 15%

    LSOFX did pretty well last year and is more consistent

    David reviewed LSOFX a couple of years ago
  • Wow that is a steep drop and a bet gone quite bad. I've owned this fund in the past.
  • edited January 2022
    Ouch. There oughta be a law … False advertising …

    Not exactly defensive holdings. Top 10 include: Amazon, Apple, Microsoft, Twitter. And Lipper gives it a low beta of .34 - Go figure.

    In terms of hedging / defense, at some point I’ll probably move from TAIL (which I reduced yesterday) into less risky DRSK. Tough year for hedging. As I noted in one post, my equity & balanced funds outperformed my alternatives during the first week - highly unusual. One of the alts, TMSRX, has turned around the past two or three days (not a very long period I realize). I’d be slow to give up on any fund at this point. Strange year.

    Thanks for sharing.
  • It all comes down to whether you think value beats growth or vice versa. These two funds have very distinct flavors.
  • RLSFX is a concentrated L-S fund. When things can go wrong on both sides, then it is like burning candle at both ends.
  • BIVRX YTD +18% !!!! Is it open ?
  • Derf said:

    BIVRX YTD +18% !!!! Is it open ?

    Yes, at least at Schwab, only $100 minimum, just initiated a starter position.
  • I own both. BIVIX was extremely volatile at the end of last year. When one is up, the other is down and vice versa.
  • BIVRX paid a sizeable distribution which didn't help last year.

    $1.55 STCG
    $.95 LTCG
  • Bought a small chunk of RLSFX mid-last year. Feeling the "ouch" now.
  • Derf said:

    BIVRX YTD +18% !!!! Is it open ?

    I have considered investing in this fund, but the potential volatility concerns me. I believe there was a very large price drop last year in a short period of time. Any thoughts on it being a decent investment if I hold for 10+ Years?

  • @Davep : Welcome aboard ! Thanks for making comments.
  • Derf said:

    @Davep : Welcome aboard ! Thanks for making comments.

    Thanks. Have been a reader for a long time, and recently decided to join and be a more active participant.

  • edited February 2022
    Unless my eyes are deceiving me or Morningstar is wrong, this fund fell 8.3% today—astounding for a hedged fund.
  • Nasdaq site confirms it. L-S fund can be wrong on both "L" and "S".
  • edited February 2022
    Big slug of Meta I did notice that CCOR (mentioned by LB recently) gained.
  • edited February 2022
    Here is the top holdings, long and short, for RLSFX as of 12/31/21:
  • RLSFX fund manager has noted "most people don't use shorting and hedging ENOUGH..."
  • A lot of the defensive funds I watch have gotten off to a bad start. Hard to understand. SWAN, NUSI & especially DFND. The last one’s off 9% YTD. All of them appeared seemingly safe conservative funds until recently. I’m considering jettisoning PSMM which haven’t owned that long and really getting hammered by the bond selloff.

    Ahh … Where to hide?
  • Looks like CTFAX has outperformed PSMM and AOK ytd, but even FIKFX is down 2.65%. Unsure if even bank loan funds will provide positive returns this year !
  • replying to @hank, "where to hide?" Maybe, who knows listed below?

    PMEFX Penn Mutual AM 1847 Income (am a bit concerned about bond portfolio side of fund, lower rated bonds, not sure?)
    TSUMX Thornburg Summit, been watching this one for a while, you can finally get in with an IRA at Schwab under the $1MM initial investment, I'm in
    HSAFX, Hussy allocation...if the stuff really hits the fan this year,likely good place to hide
    PVCMX, Palm Valley...lot of cash, absolute return investment
    BLNDX, as profiled by Prof Snowball a few months back, I didn't like the one day drop of ~5% back in November? and bailed but now thinking if any fund is going to make high single digits+ this year, it could be this one? I've waded back in...we'll see what happens
    FMSDX, Fidelity Mult Asset Income, hanging in there

    We talked about I bonds prior

    I bailed on TANDX, Tandem, ~ 30% in cash, drawdown NOT to my liking, disappointing

    Good Luck to all,

    Baseball Fan

  • edited February 2022
    Thanks @Baseball_Fan & @carew388 for the suggestions. I’ll check them out. Being very spread out, PSMM only accounts for 7 or 8% of holdings. The idea was to use it as a tracking fund for comparing overall returns, plus have a small weighting in it. Might have overreached a bit. Just thinking at this point. CCOR was mentioned as “interesting” a while back by LB. Been looking at that one as a less volatile hold. It’s in the millions AUM vs billions for BAMBX and many other alts. TMSRX had best day in a while; up .40 Friday.

    I have plenty of options for tracking funds. Looking at this point for a low-moderate risk alt to plug the hole selling PSMM would create. Might just hang tight.

    Good read in Barron’s this week by Forsyth. Cites Gary Shilling and another observor as thinking the rate hikes are overdone that and longer term they’re heading down again, not up. Makes an interesting case. (But Forsyth withheld judgement.)

    FWIW - Hussman’s funds cost $49.99 to buy at Fido and have early redemption fees out to 60 days. With him I’m inclined to quote the old “Fool me once“ line - though would like his HSTRX.
    Bonds and 10% or so gold & miners. A hard fund for him to muck up too much.

  • replying to @hank, "where to hide?"
    Not sure it's hiding. More about taking what the market conditions are dictating. Commodities have been known as an inflation hedge forever. I own a "broad basket" commodity ETF, DBC, Invesco DB Commodity Index. Up ~8% YTD. Energy is the big boost for this ETF.
  • edited February 2022
    MikeM said:

    replying to @hank, "where to hide?"
    Not sure it's hiding. More about taking what the market conditions are dictating. Commodities have been known as an inflation hedge forever. I own a "broad basket" commodity ETF, DBC, Invesco DB Commodity Index. Up ~8% YTD. Energy is the big boost for this ETF.
    RIO (diversified mining globally) has been my best hold for many months. Makes up for a lot of mistakes, as I sold off a couple commodity funds too early. Glad they’re working for you Mike.
  • I still own some gold and silver, IAU and SLV, but I believe they are both slightly negative YTD. I swore off miners years ago.
  • edited February 2022
    MikeM said:

    I still own some gold and silver, IAU and SLV, but I believe they are both slightly negative YTD. I swore off miners years ago.

    The gold and precious metals miners have stunk for a long time. I know because I have one toe in them. But RIO is industrial metals mostly. Exposure to the rare earth metals used in electric car batteries, etc. Not recommending it. Just making the distinction. I’ve been lucky with the few individual stocks I’ve waded into the past 8-10 months. But expect I’ll get my head handed to me on a platter one of these days. There’s a reason mutual funds came to exist
  • @hank - how's your stake in PRPFX holding up?
  • @hank ; I had to check out TMSRX with your mention of it being up .40,
    that is .4% or $.04 . To good to be true up 40 cents !!
    Stay warm, Derf
  • edited February 2022
    Mark said:

    @hank - how's your stake in PRPFX holding up?

    PRPFX? Not bad. Off 3.7% YTD. Up an average of 8.5% over 5 years. It’s quite diversified, but gold, silver & miners have the greatest impact because they’re so volatile. Exposure to the Swiss Franc has hurt a bit. Helped by natural resources. Hurt by stocks & bonds. After transferring it to Fido I shaved off 30+% to allocate the $$ elsewhere. Probably worked for the better. It’s a hard fit for a portfolio. I keep it as 1 of 4 alternative funds. All total they comprise 30%.

    I don’t mind volatility in some assets if I understand the rationale. With PSMM it’s the downside emanating, I think, from fixed income that has me concerned. Bonds may best be described today as “Return free risk.”

    Here’s PRPFX’s chart from Lipper.


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