When I think of a good value fund I think of YACKX. A manager who finds mispriced values in stocks. YACKX also seems to do this with a lot less volitilty than other funds in its catatgory. When I think of volatility I think of uncertainity in the market which often is the temporary event that causes mispricing in the market. Recently I have tried to consider volitily as an opportunity that a small investors can take advantage of.
I wanted to see if there was any advantage for me to hold YACKX (value fund with low volitility) for the long term and CAMAX (aggressive value fund with high volitilty) for opportunistic reasons...doing more short term buying and selling based on the volitility of CAMAX compared to YACKX.
I often chart my funds against one another using M* chart tool. With this in mind, I charted YACKX against CAMAX to see where the opportunities existed. This would mean buying into CAMAX when it trailed YACKX and selling out of CAMAX when it out performed YACKX. YACKX's steady performance (lack of volitilty) provides the reference for me to determine my buying and selling decisions.
If you have any suggestions on any solid agressive value funds similar to CAMAX I woud like to here from you. Here is YACKX charted against CAMAX over the last 5 years. I am utilizing Jing's video capture tool so sorry for the occasional verbal missteps...not yet a card carrying member of the screen actor's guild.
screencast.com/t/hx6I7oGJb3zCorrection...most recently (1 month) CAMAX is outperfroming YACKX by 5%, no (1/2%) like I stated at the end of the video.
Comments
Thanks joe74...I'll compare it.
Sorry if this is a naive question.
BWG
My hope was that readers would also watch the interactive video, click here, I ceated which looks at these two fund over 5 year timeframe all the way up to a month ago. The chart comparison merely provides the oppotunistic buying and selling of the more volatile fund, in this case, CAMAX.