Long-time columnist Malcolm Berko fielded, but did not challenge, an odd question from a reader who had "$85,000 to invest for pure growth for my 4-year-old granddaughter... [and who wanted] to buy five to seven no-load mutual funds with small portfolios."
Berko's picks, fwiw:
Parnassus Endeavor (PARWX), formerly Parnassus Workplace.
Ariel Appreciation (CAAPX)
Janus Forty (JDCRX)
Homestead Small-Company Stock Fund (HSCSX)
Hennessy Focus Fund (HFCSX), which is described as having "comparatively top-heavy" expenses
Baron Partners Fund (BPTRX), despite "heavy fees"
Brown Advisory Growth Equity Fund (BIAGX)
These are mostly good funds but they make little sense as a portfolio. If you want "focus," why seven funds? If you want "pure growth," why "pure domestic"? And if you're hoping to buy-and-hold for decades, why so much manager risk? Three of the funds are dependent on single managers. Ron Baron of Baron Partners is the oldest, at 72. Wouldn't it be worthwhile for focus on team-managed funds or passive funds that met the "focused" criterion (Bridgeway Blue Chip 35, BRLIX, meets the criterion and charges only 0.15%).
Back to reading personnel files.
David
