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Mohnish Pabrai's mutual fund for regular investors

mrc70
edited February 7 in Fund Discussions
Just a coincidence that I have created 2 new threads on the similar lines today.:-)

I recently came across this fund when I was looking at the NTF funds available at Vanguard. He is known for managing money for high networth individuals (he responded to my brother saying that minimum investment is $400,000) and a big Buffet disciple. He recently started a fund for regular investors with low minimums. I went ahead and immediately invested in the fund. It is available at Vanguard and Interactive Brokers at this point of time. It is a highly concentrated fund. Do your own due diligence before investing in it.

https://www.wagonsfund.com/

Comments

  • WABACWABAC
    These guys must think "regular investors" are sitting on some cash.

    Bless their hearts, I'm touched by their concern.:)
  • rforno
    I generally agree w/their investing strategy, but I'm not overly impressed with their holdings -- 25% of the portfolio is in coal stocks?!?
  • Roy
    Looks like WAGNX can be bought NTF through TRP Brokerage.
  • hank
    edited February 8
    What’s a “regular” investor? Is that the opposite of an “irregular” one?
  • Lukemon
    Thanks for the tip, I first discovered Mohnish Pabrai in Guy Spier's book "The Education of a Value Investor", worth a read, you can buy online or your library can request it. Thanks again, Lukemon
  • mrc70
    They mentioned in their presentation that they would make it available in other brokerages and encouraged prospective investors to request their brokerages to add the fund to their NTF list.

    I believe by 'regular' they mean fund with low minimum investment limit. Since these folks like Mohnish and Bill Ackman are known to manage money for high networth individuals (high minimum funds), probably the term 'regular' could have been used.
  • WABACWABAC
    If these jokers, and I include Ackman, really cared about regular investors, they'ld charge a lot less.
  • mrc70
    @WABAC I think the expense ratio of 1.25 for a fund with less $7M is OK in my opinion.

    A fund like OAKIX with $20B assets is charging 1.05. There are many funds in the industry that charge exorbitant expense ratios even after accumulating billions of dollars. Comparatively, this is nothing in in my opinion. Let's see if he is also like them or reduce the fee as assets are increased. Of course, that scenario only happens in the first place, if he performs.

    IMO, a good manager with new a fund is great combo, so I went ahead and invested without a second thought. I got benefited with this philosophy by investing almost from inception in Akre fund AKREX and ARTYX (in spite of its fall during 2021-22 from parabolic move up before that).
  • WABACWABAC
    @mrc70, Well. If Turkish bottlers of soda and beer are what you're looking for in a mutual fund, 1.25 might seem cheap.

    I shouldn't be snotty about it. I pay 1.22 for GLOFX in my taxable. But everything I bought on March 18, 2020 looks lovely to me now.

    OTOH, QLTY is looking better and better at .50, if helping "regular" investors is the goal.

    I wonder how much Dodge and Cox and Albert Nicholas charged when they were getting started.
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