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Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
  • Parnassus Core Equity Fund
    It sounds like you're talking about the fee table in Fidelity fund prospectuses. Is it prospectus disclosures you have in mind? I was not aware that Fidelity ever charged 12b-1 fees (outside of its Fidelity Advisor load funds).
    For example, here's the current summary prospectus for FPURX and the one from ten years ago. They both list just management fees, other fees, and 0% 12b-1 fees as you describe. Fidelity, along with many other families, has always (or at least for many years) been rather opaque about fees in its prospectuses.
    If you're talking about information that's in the SAI (e.g. group fees), at least some of that is still provided. The current SAI for FPURX reports that the actual 2021 management fee of 0.3745% was comprised of a group fee of 0.2245% and an individual fund fee of 0.15%. Similarly, the current SAI reports that in 2021 Puritan paid $2,315,707 for pricing and bookkeeping services. (One could look up the average AUM to calculate a percentage.)
    msf in Fund Discussions
  • Morningstar Portf. Manager speed
    I gotta say that I'm amazed at how low those numbers are! This are my WiFi numbers at my daughter's place in Va (verizon FIOS):
    DL: 452 Mbs
    UL: 211 Mbs
    They tell me their wired numbers are much better.
    My home numbers are similar to these (also FIOS WiFi). Old_Joe, you sure your numbers aren't MBs rather than Mbs (multiply by 8)?
    racqueteer in Other Investing
  • Parnassus Core Equity Fund
    Fidelity now has simplified (or made opaque) its fees. It now shows only the Management Fees and Others, and shows Distribution/Service/12b-1 Fees as 0. The Management Fee now includes the old administration/recordkeeping fees and portfolio management fees (includes the old group fees, fund fees, plus small variable incentive fees in some cases), and it may split that with 3rd parties. So, it has gone from a very complicated old to new system.
    yogibearbull yogibearbull in Fund Discussions
  • Morningstar Portf. Manager speed
    +1.
    Crash Crash in Other Investing
  • M* -- Bond Investors Facing Worst Losses in Years
    3 Ways to Get Better Yields than Bonds via Barrons… https://www.marketwatch.com/articles/bonds-yields-51648235275
    “ Multi-Year Guaranteed Annuities.These are the equivalents of bank certificates of deposits, except that they’re sold by insurers. As of Friday morning, you could get a a 5-year MYGA from an A-rated insurer yielding as much as 3.15%”
    I think that annuities can be good investments for some (in limited cases) so don't take this the wrong way, but the assertion that SPDAs, esp. multi-year ones, are equivalent to CDs overstates their safety and misses some tax differences.
    In terms of taxes, they are more like IRAs - withdrawals prior to age 59½ are subject to penalties.
    In terms of risk, the column states that "Even if the insurer that sold you the MYGA goes broke, which is a rare event, you will get your principal back though you may get reduced interest." Well, sort of.
    Executive Life of NY (ELNY) is a good case study of what could go wrong. This insurer was solvent when the state put it into receivership. (Its parent company was bankrupt and investors, not understanding the distinction, began a "run on the bank".) Bad things can happen even without the insurer going broke.
    SPDA owners had a choice of:
    1. Taking the cash value of their policies, which meant forfeiting possibly several percent of principal in penalties if they were not past the multi-year penalty period, or
    2. Getting a new policy (with MetLife, a solid insurer) at a lower rate and with a new seven year penalty period (regardless of the term of the original contract)
    https://www.nylb.org/Documents/ELNY_VerifiedPetition_ExB.pdf
    Sure, if you waited another seven years, you'd get your principal back with interest, but if you took the money and ran, you could wind up with less than the principal you started with. Likely to happen? Definitely not. Possible? Yes.
    msf in Fund Discussions
  • Parnassus Core Equity Fund
    Good to know that many funds now not listing 12-b-1 fee, but instead include them as other fees. One can consider institutional shares if the minimum is reasonable instead of $1M.
    Sven in Fund Discussions
  • Real Estate - What Under $20 Million Buys in NYC
    Sounds like it’s getting easy to make money in this racket. Anybody flippin?
    “Tommy Hilfiger Gets $50 Million for Aspen Ski Home”
    “In Aspen’s booming luxury market, fashion designer Tommy Hilfiger has sold a slopeside mansion for $50 million, roughly three months after buying it for nearly $31 million. The ski-in, ski-out home traded in an off-market deal that closed Tuesday … Mr. Hilfiger and his wife, Dee Ocleppo Hilfiger, bought the Aspen Mountain property in December. … Built in 2003, the house is about 7,150 square feet with four bedrooms. It is located on the Little Nell ski trail on Aspen Mountain.”
    The Wall Street Journal - March 25, 2022
    hank in Other Investing
  • M* -- Bond Investors Facing Worst Losses in Years
    3 Ways to Get Better Yields than Bonds via Barrons… https://www.marketwatch.com/articles/bonds-yields-51648235275
    I Savings Bonds? I mean… it’s only 10K. Please…
    “ Multi-Year Guaranteed Annuities.These are the equivalents of bank certificates of deposits, except that they’re sold by insurers. As of Friday morning, you could get a a 5-year MYGA from an A-rated insurer yielding as much as 3.15%”
    “ Interval Funds. For those willing to own riskier assets, consider interval funds that invest in credit instruments. Many are paying 7% to 10% yields—equity-like returns with less volatility than stocks.”
    “ The $2.9 billion Pimco Flexible Credit Income Fund (PFLEX) can buy any sort of debt, including residential loans and emerging-market debt. In terms of risk, “I would say it fits between bonds and equity,” says Christian Clayton, a Pimco executive vice president.
    The fund has averaged a 6.3% return since its inception in 2017. But that included a roughly 20% decline in March 2020 as the pandemic shriveled the economy. ”
    JonGaltIII in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    Sold most of my IRA bond funds in February 2021. Many of them were up 8% at the time I sold. That seemed good enough for me. I don't really like bonds much anyways.
    I still have some bond exposure from balanced funds PRWCX, VWINX, and VWELX. I also kept my positions in FFRHX and FRIFX.
    I have recently sold some large positions in muni bond funds from my taxable account to harvest some tax losses and free up some dry powder. If I need the income there are better options in equity and sector funds.
    I expect that smaller positions in VWLUX and VWALX will go as soon as next week.
    WABAC WABAC in Fund Discussions
  • Parnassus Core Equity Fund
    I've always liked JENSX allocations but on principle I won't buy funds with 12(b)-1 fees unless there's a really compelling reason.
    Not to get too embroiled in 12b-1 fees, but funds participating in NTF programs pay the same fees to the platform whether the money comes from the investors' pockets via a 12b-1 line item, a service fee line item, an undifferentiated "other fees" line item, and/or the management fees line item.

    1998 SEC supermarket letter
    PRBLX / PRILX adds 0.22% as a service fee line item to its retail shares instead of showing it as a 12b-1 line item. PRBLX's 0.84% ER (per prospectus) is virtually identical to JENSX's 0.82% ER (per prospectus). Hard to see a difference. A rose by any other name ...
    PRBLX summary prospectus
    JENSX summary prospectus
    msf in Fund Discussions
  • Parnassus Core Equity Fund
    How about JENSX ?
    I've always liked JENSX allocations but on principle I won't buy funds with 12(b)-1 fees unless there's a really compelling reason.
    rforno in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    A part of me struggling to understand the handwringing for buy-and-hold investors.
    If you have a say 50/50 allocation between stocks and bonds, why would you not just rebalance? Take-advantage of the cheapness?
    I get it with trend-following or trading strategies, which I like, but don't long-term investors need to accept that some years will be worse than others, no matter what the asset class?
    I saw DODIX mentioned.
    Let's say by end of year, it's -9%. About its worst MAXDD. Don't two +9's get remembered, as in 2019 and 2020?
    Here are calendar year returns going back to 1990:
    Year Count: 32
    Worst Year: -2.9
    Best Year: 20.2
    Average Year: 6.4
    Sigma Year: 5.5
    YTD (thru 3/24): -5.6
    2021: -0.9
    2020: 9.4
    2019: 9.7
    2018: -0.3
    2017: 4.4
    2016: 5.6
    2015: -0.6
    2014: 5.5
    2013: 0.6
    2012: 7.9
    2011: 4.8
    2010: 7.2
    2009: 16.1
    2008: -0.3
    2007: 4.7
    2006: 5.3
    2005: 2
    2004: 3.6
    2003: 6
    2002: 10.7
    2001: 10.3
    2000: 10.7
    1999: -0.8
    1998: 8.1
    1997: 10
    1996: 3.6
    1995: 20.2
    1994: -2.9
    1993: 11.4
    1992: 7.8
    1991: 18.1
    1990: 7.4
    Granted, all during secular bond bull. But there were certainly some periods in there of rising rates, if not with concurrent inflation.
    Also, if there is sufficient liquidity, and there seems to be, why is selling a bond or TBill early bad? Can't you just pick-up another with the reduced principal but higher interest for the remainder of the planned term? Don't you end up in same place, less trading fee/bid spread?
    Now if liquidity is crashing, I get it (e.g., IOFIX in March 2020, I do remember and will never forget). Is that what the concern is for investors ... that there will not be enough liquidity with everybody running for the door in bond fund land, perhaps including the Fed?
    Excellent analysis and summary. I understand the worry with bonds but most investors are not able to trade in and out to successfully chase the best returns. The B&H path I am following.
    Gary1952 in Fund Discussions
  • Parnassus Core Equity Fund
    I hold a large slug of PRBLX/PRILX in my taxable accounr. My 403(b) is 100% in American Funds Washington Mutual R-6 and is one of the funds on the page YBB cited. Can't see the M* 'rating' but it's been a solid performer for me over the past decade-plus. (I don't do index funds)
    rforno in Fund Discussions
  • RCTIX - Manager Change
    I browsed the River Canyon Funds (RCF) website yesterday evening and noticed that Todd Lemkin was listed as the RCTIX manager. I didn't check the prospectus since it was late.
    I wonder what transpired? RCTIX key-man risk was a concern of mine.
    I asked RCF the following questions in September 2019:
    The prospectus states that the fund is managed using a team-based approach.
    Besides Mr. Jikovski, who else is on the team and what is their tenure with Canyon Partners?
    Is there a current succession plan for the portfolio manager?
    RCF response (slightly edited):
    There are three designated members of the RCTIX team. George, Alex Siroky and Guillermo Serrano.
    Alex has been a senior analyst on the team and we expect to add him as a Co-PM at the end of the year.
    Alex has been at Canyon for one year, but spent the prior 10 years at Athene asset management.
    During Alex’s tenure at Athene it grew from managing a few hundred million to over $100B in structured credit.
    Guillermo has worked with George at TCW and at Canyon for almost 20 years.
    He joined Canyon shortly after George did in 2004.
    He is a research analyst and builds many of our models to evaluate these securities.
    The River team leverage’s the other 49 investment professionals at Canyon.
    For example, once we hit $100mm in AUM we will begin to invest in CLO tranches.
    We have an 8 person CLO team managing over $4.5B in AUM.
    George will work closely with them to analyze the CLO structures and the underlying collateral of bank loans.
    George has been at Canyon for 15 years and is in his early 40s.
    We don’t anticipate him leaving anytime soon, but we are constantly looking to develop our talent in the event someone leaves. At this time there is no designated successor.
    Observant1 in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    Fixed income has definitively been a total return blood bath since 3Q21; the math is simple - price moves conversely with duration. Some spread widening has occurred which can be partly attributed to Fed attempts to reduce balance sheet.
    But no bloodbath in your income fund - RSIVX. Curious what lit a fire under it last year and how it is positive YTD this year. You are certainly doing something right.
    Junkster Junkster in Fund Discussions
  • RCTIX - Manager Change
    FYI, the Supplement to the RCTIX Prospectus, dated 3/25/2022, states the following:
    "The following changes are being made to the Prospectus and Statement of Additional Information (“SAI”) of the
    River Canyon Total Return Bond Fund (the “Fund”).
    The information identifying the Fund’s portfolio manager on page 4 of the prospectus in the subsection entitled
    “Portfolio Management” is deleted in its entirety and replaced with the following:
    Portfolio Managers
    Todd Lemkin
    Portfolio Manager
    Length of Service: Since March 2022
    Sam Reid
    Portfolio Manager
    Length of Service: Since March 2022"
    George Jikovski, the manager since the inception of the fund in 2014, has apparently been replaced. Hopefully, yesterday's fund performance is not a sign of things to come under the new managers.
    Fred
    fred495 in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    For a ultra short duration with a "buy and hold" approach, SPACs purchased below trust value with the intent to always redeem on a business combination, sell above trust value, or wait until liquidation date may be worth consideration. According to SPACinformer.com around 75% of SPACs have a yield to liquidation over 3% with an weighted average maturity around 1 year. Some or all of the return may be capital gains rather than ordinary income. SPACinformer.com allows you to download the 700+ SPAC database for free to get the info needed to execute.
    davidsherman in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    Fixed income has definitively been a total return blood bath since 3Q21; the math is simple - price moves conversely with duration. Some spread widening has occurred which can be partly attributed to Fed attempts to reduce balance sheet.
    davidsherman in Fund Discussions
  • M* -- Bond Investors Facing Worst Losses in Years
    The New Bond Era:

    bee bee in Fund Discussions
  • Wealthtrack - Weekly Investment Show
    March 25th Episode:

    bee bee in Fund Discussions