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Dig a bit deeper on Royce -- look at how many of their funds have significant stakes in international stocks (say, above 5-7% or so). Some have topped 25% or more. Look at how many of them regularly hold mid-caps (hence the reason Royce refers to …
Awesome ! They'll probably list him as lead or co-manager on 5 new funds. Now, when I say "5 new funds", do I mean 5 brand-new copy-cat funds Royce will roll out this summer, or do I mean 5 funds for which Chuck wasn't previously listed as a portf…
Another vote for the Vanugard paper; its very accessible and well done.
FYI, do a trend analysis on international stocks versus international bonds. I did not look at a super-long time series, but my quick look suggested some good play-off betwe…
OAKBX's great returns -- a drop off after Ed left?
I have held OAKBX fund for 10+ years, even after Ed's departure because of my respect for the firm.
At the same time, it's worth noting, their international small cap fund (OAKEX, which I also h…
Yeah, I'm not quite certain what's going on here either. To me the issue went beyond AUM (I knew they had hired new staff), but to the Royce-esque biat and switch and skullduggery with benchmarks interpretation of performance and etc.
Ed S seems t…
The disgust with FPA is growing. Ed Studzinski has taken some jabs at them; now David pulls the gloves.
Thanks for putting this out in the open, David. As an FPACX shareholder, I too am disgusted. I thought FPA was one of the last true fiducia…
@Old_Skeet: made the mistake of buying, but not selling. I got 3 good years out of CGMFX. Lifetime yield on that investment has been -7%. Was actually up about 4% before the bear reared its head, convincing myself that Heebner's massive short on…
@David_Snowball: ridiculous. I guess this is what they mean by "investor's first" (vs. "clients first").
Romick going into CYA mode gives me serious pause about FPA (wife and I both invest with them).
@expatsp: agree. The 2008 downturn was so severe, that many of the conservative, deep value stalwarts took a major hit. Since GMO recognized that a 3-sigma was on the horizon, they should have been *especially* prone to go ultra-defensive. But i…
@expatsp: you're still ignoring volatility. You do yourself a potentially great disservice if you simply consider mean annualized returns. This is especially important for firm such as GMO, whose strategy and value-add is (ostensibly) that they s…
@MJG: your points on n-factor models are well taken. It would be interesting to compare fit statistics and information criteria for each of the models for each of the funds to better determine if funds' all have the same underlying factor structur…
I see your "time in market" argument as reinforcing my point. A lower volatility fund may reduce investor anxiety and increase time in market.
So, either way one slices it, I really think volatility / standard deviation is an important missing pie…
This is all well and good...I suppose. But he needs to taken into account the volatility (standard deviation) in performance, not just the mean. It's not hard to outperform on a total value basis if your mean comes in lower than the benchmark if y…
@BobC: any insights into the underperformance on OSTFX? Seems to have lagged for some time.
Also, a bit disappointing that they've had the turnover on the equity team.
Herro's guru status has always puzzled me. OAKEX has seemed like a so-so offering from an otherwise great shop, whose performance always seems to be overlooked when Herro is trotted out to do an interview somewhere.
Good `ol Royce ! Re-opening just before changing their names and combining them with a half dozen other copy cat funds and adding three more share classes !
Atta boy, Chuck ! Let's keep those AUM numbers up !
DODLX -- enough of a track record ?
D&C had it in pre launch six years prior to the 2012 launch. Doesn't seem like the Royce kind of shop which develops offerings just to garner AUM.
Evil.
A lot of that stuff needs to be reinvested in future capacity, not short-term gains for shareholders.
The GMO team has written on this stuff quite a bit, and I've found if pretty convincing.
Lord knows how the Royce Discovery funds which Neckhov has been the manager of have stuck it out for so long. They have been abysmal for some time. Buy, you know, Chuck Royce will try anything once as long as he can stick a 2.5% ER on it.
Hey, no biggie...it's what Royce does ?
They'd have shifted the benchmark index anyway had the funds shown underperformance.
Old wine, new wine, boxes and bottles. Drink up, Chuck !
I have about half a year's living expenses in cash and short term investments. I'd say about 80% of that is straight cash. My wife holds another slug of money equivalent to about 25% of our annual living expenses, separately, in cash and conservat…
Dude, check out the latest Semi-Annual Report.
Fully three Royce funds are now changing their names. Some make sense because the old names never made sense (Royce Value Plus, for example...where was the "plus" under Chip Skinner's stewardship ? …
I should have mentioned I have a large-ish block of stock I currently hold which pays a decent dividend, and which I automatically reinvest; I am hoping that can be executed with Vanguard / TROW w/out too much difficulty.
That's what I meant, actually.
I am looking for a vehicle to hold about 8 stocks and 4 mutual funds (taxable account). I rarely trade.
Vanguard appeals to me because it has tremendous availability of funds (internal and external). TROW because t…
