Here is some of my dirty laundry...
Today, while looking at my records at Fidelity for purchase and sale dates of UTGRX (Utopia Growth) I noticed that I invested in this tiny fund for a while.
I first invested in OBIOX in 7/2008 pretty close to its launch (2/2008). Bought more 8/2008 and some more in 9/2008.
Sold the initial investment in 11/2008 and the rest in 3/9/2009 ironically right at the market bottom (what great market timing huh?) at substantial loss. I lost the 60% return in 2009.
If you look at the fund right now, it has now pretty good upside/downside capture ratio for 1 and 3 years.
Has a 3 year beta of 1.10 and alpha of 9.57 (compared to MSCI EAFE Index) and 5 year beta of 1.16 and alpha of 6.06. Pretty high sharpe and sortino ratios (even better than WAIOX on 3 year term).
So, it has delivered an exciting return to few investors who remained on the fund or invested after march of 2009. Having said that the devestation in 2008 and early 2009 must have scared a lot of people that the fund now have only $25mil invested.
Comments
I am glad to see you are discussing The Oberweis International Opportunities Fund (OBIOX). Securities regulations prohibit me from participating in online discussions such as this one, but I would be delighted to speak to any of you personally if you contact me on my business phone or through my business email.
John P. Collins, CIMA®
National Key Accounts Director, The Oberweis Funds, Inc.
Direct: (630) 577-2364 | Email: [email protected]
*Securities Offered Through Oberweis Securities, Inc., Member FINRA/SIPC
John and I have been talking about the fund and he expressed frustration that FINRA regs effectively make it impossible for him to speak in a forum like this. I read the relevant FINRA regs yesterday and concluded that they aren't written in Latin just because FINRA was fearful that too many people might actually understand them then. He is allowed to (heck, anxious to) speak with folks one-on-one and I encouraged him to post a short notice of his availability.
We're likely to have more on the fund in the October issue.
As ever,
David
At the time I also had, OAKEX as another small cap with longer track record. With the portfolio getting smaller I did not see the need for two funds anymore and consolidated consolidated from two funds into one. So, I did get most of the rebound that way.
Today, the manager of OBIOX is much more experienced. I think the fund is better positioned valuation wise as well. Both Investors and the management has learned from the experience.
No sirree, not for me.
OAKEX on the other hand shows EACH manager owning $1 Million. Here's the SAI for those who are like thinkers.
I am asking this because you seem to be quite experienced investor and a knowledgle poster here but what I don't understand is dumping non-performing fund at the first instance. This question is not only to you but everyone, who does that on this forum.
The forum is filled with posters, including quite knowledgible ones, dumping funds at the first instance of underperformance. Didn't we learn anything from M* statistic introdced a few years back, the investor return.
For most of the funds, investor returns lag the total returns because investors flock a fund after its success and then dumping after started underforming, thus loosing out, and not capturing its sucess. This is espcially true for volatile funds, CGMFX being the poster child for such funds.
Funny thing is that I had made this confession back in March and there was no interest. I did reinvest in OBIOX a small amount mid May and added a bit more beginning July. I intend to accumulate a lot slower this time around.
As of December 31, 2012, the dollar range of equity securities in the International Opportunities Fund beneficially owned by Mr. Scherschmidt was: $100,001-$500,000.