MAPIX has been good to me the past few years but unfortunately missed the closure by a few days in a 401k rollover @ Fido. Invested 3% in MACSX and 5% in SFGIX (combined with 5% each in OAKIX & FMIJX for total international exposure).
However, I noticed it's categorized as a "Pacific/Asia ex-Japan Stk" by M* and looking at the breakdown, it has 10% in Japan, compared to 20% and 40%+ for MAPIX & MPACX, respectively. While staying away from "The Lost Decade" positively contributed to the long-term success of MACSX, this has resulted in a significant drag on returns YTD.
Not trying to go performance chasing, but have learned to never underestimate the power of the printing press and believe Abenomics will heavily influence the Nikkei.
This particular portfolio can handle much more volatility than the other one which owns MAPIX, so I am thinking about either swapping the Asian Growth & Income for just the Growth, OR maybe just add a small 1% position in MJFOX (I am rather meticulous in managing this portfolio for my mother so take asset allocation very seriously, plus I just plain love this shit).
Interested to hear your thoughts and opinions. Thanks
Comments
Expect this to be a diversified international fund over the long haul.
I own MAPIX and MACSX in my IRA, SFGIX in taxable.
I'm thinking Asia maps to Emerging Markets, always. Correct me if I'm wrong here. Japan is sort of considered out of Asia even if it is in the continent. Not sure if South Korea is "developed" or "Emerging".
So because of title of your subject am trying to understand if you are trying to manage your emerging market exposure or only Asia exposure, hence my confusion.
I like this spread a bit better than a single world stock, but then I'm into the mid/small value range since the rest of my port is in mid/large growth.
Example: MSCFX is up, according to Morningstar by 26.78%, ytd. And over the past year, it is up by 41.68%....... Compare with the Matthews small cap, MSMLX:
YTD: +4.41% and 1-year, +21.49. Those latter two numbers are not shabby, either, but the domestic small-caps are on fire, at HISTORIC highs. Look at the Russell 2000. If bonds is the wrong place to be, it still makes sense to me NOT to buy US stuff at such a premium. I'm set to pull the trigger and buy shares in MAPOX, but I'm hating myself for it, when I consider the prospect. I wish a pull-back would happen soon, for one reason or another. And of course, it WILL come----- as soon as I send them the check.
I keep wondering who buy "Africa" funds.
Ha, it is indeed confusing when trying to label a country as "emerging" or "developING" and what criteria is used for it to make the jump. And due to its location we lump Japan with Asia, which like you said is usually associated with emerging markets, so does our ignorance make us racist? Been watching too many Seinfeld reruns during dinner
Trying to manage both exposures I guess. I do hope SFGIX becomes more of a true EM play or that the allocation is based on current value/opportunity, as a lot of the good funds in the category closed this year. Actually gonna buy GPROX soon as soon as a transfer gets processed.
Good advice, definitely not trying to get into such a specific category like countries.