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M* had mentioned that co-lead-manager Yu Zhang was responsible for the recent (5+ years) shift in MAPIX from old current-dividend emphasis to also include dividend-growth emphasis. As a result, MAPIX started behaving similar to other growth-oriented Matthews Asia funds. IMO, this change may restore MAPIX to its original current-dividend emphasis.
M* had mentioned that co-lead-manager Yu Zhang was responsible for the recent (5+ years) shift in MAPIX from old current-dividend emphasis to also include dividend-growth emphasis. As a result, MAPIX started behaving similar to other growth-oriented Matthews Asia funds. IMO, this change may restore MAPIX to its original current-dividend emphasis.
Good catch, Yogi; didn't realize the strategy change with YZ, just that it seemed to get growthier than it was during its better days.
Off topic: I also hadn't realized until yesterday that the China Dividend fund is up more than 30% in the last 3 months (not up just in the current rip).
Matthews Asia Dividend Fund Matthews China Dividend Fund
A few odd things really stand out about this announcement.
1. First, word on the street is that Yu Zhang left Matthews (probaby obvious, but some may think he is just coming off of managing his fund). If true, this is the most senior portfolio manager to leave. Not only is Asia Div one of the biggest funds at Matthews (nearly $2bn of assets), its also the 3rd biggest active managed Asia fund in the U.S. (only PRASX and MAPTX are bigger). I think Yu had been with Matthews since 2005?
2. Joyce Li, who was a co portfolio manager of Asia Dividend and China Dividend funds, also resigned on December 30, 2022. See her filing below and linkedin, confirming her departure. That's just 30 days before Yu Zhang resigned per the filing above.
Why would Matthews file these two departures as two separate filings when they happaned so close together? It's never good to file these forms when a PM departs, so it was in Matthews best interest to file them together, once.
This tells me that Matthews had NO IDEA that Yu Zhang was departing and it came as a total surprise.
Look at the filing for Joyce's departure on Dec 30, 2022. They make it VERY clear that "Yu Zhang, CFA, will continue to act as a Lead Manager of the Matthews Asia Dividend Fund". Yet he leaves less than 30 days later?
Something is up.
A shame what has happened to Matthews. They continue to bleed investment talent.
I believe, @Observant1, that I bought the Investor shares of the same fund that you mention.
Yes - same fund but different share class. As Mona mentioned, SIVLX is available at Vanguard where I have an account. It has a $25K minimum initial investment. I believe SFVLX has a $2500 minimum initial investment.
I still can’t get over how this fund was almost even for 2022. It has a large exposure to both Hong Kong and China. Fascinating how he dodged the losses.
I believe, @Observant1, that I bought the Investor shares of the same fund that you mention.
Yes - same fund but different share class. As Mona mentioned, SIVLX is available at Vanguard where I have an account. It has a $25K minimum initial investment. I believe SFVLX has a $2500 minimum initial investment.
SFVLX can be purchased with a minimum of $2,500 in a regular account and $1,000 in a retirement account directly with Seafarer. I do not see where SFVLX can be purchased through Vanguard or Schwab.
i think its SIVLX that's available at Schwab but there's a 25k minimum. I'm kind of surprised that the fund is still only $63M after its been around this long and has performed as well as it has. But most people don't seem to be aware of it. I don't think they market the fund very much. Instead their focus is on marketing SIGIX which has almost $2 Billion in assets. As long as they don't liquidate the fund, small is okay.
i think its SIVLX that's available at Schwab but there's a 25k minimum. I'm kind of surprised that the fund is still only $63M after its been around this long and has performed as well as it has. But most people don't seem to be aware of it. I don't think they market the fund very much. Instead their focus is on marketing SIGIX which has almost $2 Billion in assets. As long as they don't liquidate the fund, small is okay.
@MikeW you are correct on $25,000 at Schwab for SIVLX. I too noticed that it only has $63M in net assets. Hopefully, one of the smarter minds here can opine if that is a concern. Based on only $63M in net assets, an ER of 1.05% seems quite reasonable. And for that, you get two good minds in Paul Espinosa and Andrew Foster. Lydia So is not listed as a manager in the fund (she is in SFGIX/SIGIX), but I would think that in this small boutique company, she too would have input.
Comments
M* had mentioned that co-lead-manager Yu Zhang was responsible for the recent (5+ years) shift in MAPIX from old current-dividend emphasis to also include dividend-growth emphasis. As a result, MAPIX started behaving similar to other growth-oriented Matthews Asia funds. IMO, this change may restore MAPIX to its original current-dividend emphasis.
Off topic: I also hadn't realized until yesterday that the China Dividend fund is up more than 30% in the last 3 months (not up just in the current rip).
1. First, word on the street is that Yu Zhang left Matthews (probaby obvious, but some may think he is just coming off of managing his fund). If true, this is the most senior portfolio manager to leave. Not only is Asia Div one of the biggest funds at Matthews (nearly $2bn of assets), its also the 3rd biggest active managed Asia fund in the U.S. (only PRASX and MAPTX are bigger). I think Yu had been with Matthews since 2005?
2. Joyce Li, who was a co portfolio manager of Asia Dividend and China Dividend funds, also resigned on December 30, 2022. See her filing below and linkedin, confirming her departure. That's just 30 days before Yu Zhang resigned per the filing above.
Why would Matthews file these two departures as two separate filings when they happaned so close together? It's never good to file these forms when a PM departs, so it was in Matthews best interest to file them together, once.
This tells me that Matthews had NO IDEA that Yu Zhang was departing and it came as a total surprise.
Look at the filing for Joyce's departure on Dec 30, 2022. They make it VERY clear that "Yu Zhang, CFA, will continue to act as a Lead Manager of the Matthews Asia Dividend Fund". Yet he leaves less than 30 days later?
Something is up.
A shame what has happened to Matthews. They continue to bleed investment talent.
https://www.streetinsider.com/SEC+Filings/Form+497+MATTHEWS+INTERNATIONAL/21020185.html
https://www.linkedin.com/in/sjoyceli/
As Mona mentioned, SIVLX is available at Vanguard where I have an account.
It has a $25K minimum initial investment.
I believe SFVLX has a $2500 minimum initial investment.
https://seafarerfunds.com/invest/
SIVLX is a mid-cap value EM fund. Even though it has 10% allocation to China, these are companies not commonly found in large cap EM funds.
https://fundresearch.fidelity.com/mutual-funds/composition/31761R591?type=sq-NavBar