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Does it seem to anyone else that, overall (and with a few exceptions), their fees are notching up ever-so-slightly?
Other notes: Royce Low Price Stock is doing quite poorly; Chip Skinner still manages RYVPX even though he's doing poorly, the Royce Discovery Fund managed by Nekov seems to have long last seen its last day (or, has it...has it been absorbed elsewhere).
I used to like Royce funds for small-value investments 10-15 years ago (late 90s to mid 2000s). Now they are just a mutual fund business that is putting their interest in gathering assets (an collecting fees) ahead of their shareholders' interest of delivering great returns at a reasonable cost. Just look at their fund offerings and see if you can easily figure out the differences between these funds: Select I, Select II, Enterprise Select, Value, Value Plus, Focus Value, etc.? Chuck Royce manages or co-manages 16 funds and Whitney George manages or co-manages 10 funds. The mutual funds returns in the past few years might be showing the changes that have taken place inside Royce in the past decade. I won't be putting my money in Royce funds anytime in foreseeable future.
I used to like Royce funds for small-value investments 10-15 years ago (late 90s to mid 2000s). Now they are just a mutual fund business that is putting their interest in gathering assets (an collecting fees) ahead of their shareholders' interest of delivering great returns at a reasonable cost. Just look at their fund offerings and see if you can easily figure out the differences between these funds: Select I, Select II, Enterprise Select, Value, Value Plus, Focus Value, etc.? Chuck Royce manages or co-manages 16 funds and Whitney George manages or co-manages 10 funds. The mutual funds returns in the past few years might be showing the changes that have taken place inside Royce in the past decade. I won't be putting my money in Royce funds anytime in foreseeable future.
Spot on.
That's why I'm drawn to David's mission of highlighting small, independently-owned shops that seek to add value. There are few fund families that I would trust to act as true fiduciaries. Royce used to be one of these; but with the Legg Mason takeover my impression is that the changes have been swift and broad; my trust has been decimated. How long before they have Dreifus managing 3 or 4 or 5 funds? Same with Zaino. No thanks, Royce. No more hiding behind Chuck's cashmere v-necks and bow tie; your Legg is showing.
Guys Royce has been part of Legg Mason for a looooooooooooonnnnnnggggggg time. I don't think that bothered most people so I am glad it is !!! I bailed on Royce the moment I found out about Legg Mason, but that was quite a while back I don't even recall.
How long before they have Dreifus managing 3 or 4 or 5 funds?
I certainly hope this will not happen. RYSEX and RSEMX are the only 2 Royce funds in which I have any interest (and RYSEX is the only one in which I have any money).
According to Charlie Dreifus's interview on Wealth Track with Consuelo Mack, the creation of the multi-cap fund was totally his idea, and in fact he requested permission and lobbied to do it. Largely because he felt, and still feels, that as an asset class, small caps are more fully valued than mid and large caps.
So I don't think we have any reason, at least at present to feel that Royce is going to multiply funds under his management. I did feel that Royce was going over-the-top in some of its internet banner advertising, trumpeting Dreifus as "a brilliant investor". This was the occasion of my Open Letter to Charlie Dreifus. (coincidence or not, the ads stopped cold and have not been seen since).
So whatever our concerns might be about Royce (and exorbitant fees should be high on that list), it appears that Charlie Dreifus operates independently, being given the support he needs, but making his own investment decisions. RYSEX is a keeper.
Comments
That's why I'm drawn to David's mission of highlighting small, independently-owned shops that seek to add value. There are few fund families that I would trust to act as true fiduciaries. Royce used to be one of these; but with the Legg Mason takeover my impression is that the changes have been swift and broad; my trust has been decimated. How long before they have Dreifus managing 3 or 4 or 5 funds? Same with Zaino. No thanks, Royce. No more hiding behind Chuck's cashmere v-necks and bow tie; your Legg is showing.
Since 2007, right?
According to Charlie Dreifus's interview on Wealth Track with Consuelo Mack, the creation of the multi-cap fund was totally his idea, and in fact he requested permission and lobbied to do it. Largely because he felt, and still feels, that as an asset class, small caps are more fully valued than mid and large caps.
So I don't think we have any reason, at least at present to feel that Royce is going to multiply funds under his management. I did feel that Royce was going over-the-top in some of its internet banner advertising, trumpeting Dreifus as "a brilliant investor". This was the occasion of my Open Letter to Charlie Dreifus. (coincidence or not, the ads stopped cold and have not been seen since).
So whatever our concerns might be about Royce (and exorbitant fees should be high on that list), it appears that Charlie Dreifus operates independently, being given the support he needs, but making his own investment decisions. RYSEX is a keeper.