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Was wondering if anyone had any low-turnover, top-down global growth funds they like? I can't seem to find any. I'm not sure that top-down and low-turnover are even possible together, but thought I'd inquire here. Thanks!
There aren't many funds or families that do top down investing. Apparently managers feel it can't be done effectively, or at least they can't. A family that does do "theme based" (I'd call it top down) investing is Buffalo funds. And all their funds have low to very low turnover - proving that it is possible.
They don't have a global fund (though they used to have a fund called "USA Global" - like Fidelity's Export & Multinational, it was supposed to focus on domestic multinationals), but they do have an international fund that seems to do pretty well. Buffalo International (duh) BUFIX.
Thanks msf! I really appreciate the suggestions. Buffalo has a lot of what I'm looking for, and may be a great fit (pending some further review of course). Thanks again for pointing it out!
I would take a look at MFCFX/HAFLX which uses both "top-down" and "bottom-up" approaches:
"In selecting investments for the Funds, the investment adviser uses an approach that combines “top-down” macro-economic analysis with “bottom-up” security selection. The “top-down” approach may take into consideration macro-economic factors such as, without limitation, interest rates, inflation, monetary policy, demographics, the regulatory environment, and the global competitive landscape. Through this “top-down” analysis, the investment adviser seeks to identify sectors, industries and companies that may benefit from the overall trends the investment adviser has observed."
I invest in MFCFX, but it did not shine during the last year, so sometimes I have second thoughts. The fact that HAFLX is one of your core funds is encouraging. Are you fully comfortable with MFCFX and HAFLX despite the short history of success of the manager?
I am very comfortable with MFCFX/HAFLX, as this fund has had attractive Upside/Downside capture ratios, returns, standard deviations, and sharpe ratios as I detailed here:
This growthy fund only lost about 4% last year, which is fine by me. And Doug Rao has a solid 5 year record at MFCFX, which is adequate by my standards.
Artio has two international funds but not Global and they are top-down guys. Of course, they are not doing well in the last few years, though their record before that was excellent.
Comments
They don't have a global fund (though they used to have a fund called "USA Global" - like Fidelity's Export & Multinational, it was supposed to focus on domestic multinationals), but they do have an international fund that seems to do pretty well. Buffalo International (duh) BUFIX.
"In selecting investments for the Funds, the investment
adviser uses an approach that combines “top-down”
macro-economic analysis with “bottom-up” security
selection. The “top-down” approach may take into
consideration macro-economic factors such as, without
limitation, interest rates, inflation, monetary policy,
demographics, the regulatory environment, and the global
competitive landscape. Through this “top-down” analysis,
the investment adviser seeks to identify sectors, industries
and companies that may benefit from the overall trends the
investment adviser has observed."
Here are the prospectuses for MFCFX and HAFLX:
http://www.marsicofunds.com/pdf/prospectus.pdf
http://hosted.rightprospectus.com/HarborFunds/Fund.aspx?dt=SP&ts=HAFLX
Disclosure: HAFLX is one of our core funds.
Kevin
I invest in MFCFX, but it did not shine during the last year, so sometimes I have second thoughts. The fact that HAFLX is one of your core funds is encouraging. Are you fully comfortable with MFCFX and HAFLX despite the short history of success of the manager?
Andrei
I am very comfortable with MFCFX/HAFLX, as this fund has had attractive Upside/Downside capture ratios, returns, standard deviations, and sharpe ratios as I detailed here:
http://socialize.morningstar.com/NewSocialize/ViewPost.aspx?apptype=0&PostID=3179710
This growthy fund only lost about 4% last year, which is fine by me. And Doug Rao has a solid 5 year record at MFCFX, which is adequate by my standards.
Kevin
Andrei
Indeed; thank you for your thoughts, notes and links regarding this area.
Take care,
Catch
Of course, they are not doing well in the last few years, though their record before that was excellent.