| Title: | Market Investing |
| Moderator: | 2155::michaud |
| Created: | Thu Jan 23 1992 |
| Last Modified: | Thu Jun 05 1997 |
| Last Successful Update: | Fri Jun 06 1997 |
| Number of topics: | 1060 |
| Total number of notes: | 10477 |
My wife and I have a substantial amount of money invested with Selected
American Shares, and we're concerned about the resignation of Donald
Yacktman after 9 successful years as fund manager.
He's being replaced by Jim Moeller, who has been hired as Chief
Investment Officer, an EVP position. Moeller's credentials sound
impressive, but then who am I to evaluate the credentials of a mutual
fund manager? At First National Bank of Chicago, he "build a $2.5
billion equity investment unit and personally managed $600 million in
commingled equity fund assets that performed in the top quartile of
competitive managers. He was also responsible for the fixed-income and
asset-allocation activities of the trust and investment advisory
division, with $7 billion in total assets." Can someone put that in
English for me?
My dilemma is whether to hang on and just carefully watch the funds's
performance, or to pull out and put the money into another fund managed
by someone with a proven track record. What would others do?
Steve
| T.R | Title | User | Personal Name | Date | Lines |
|---|---|---|---|---|---|
| 143.1 | The chance is 50/50. | SOLVIT::CHEN | Thu Apr 02 1992 09:58 | 16 | |
FWIW,
This happened to the Stein Roe Special Fund last year. The new
fund manager came on board in the earlier part of the year. The fund
didn't do as well as it should be for the rest of last year. However,
it is doing reasonablly well this year, so far (IMHO). So, the only
logical thinking I can come up with is that each fund manager has his
(or her) own investment style and strategies. When a fund portfolio
changes hand, there bound to be some rearrangement of the portfolio.
This will affect the fund's performance (at least for the short term,
anyway). If your investment is for the long haul, this may not matter
that much at all. But, is the new manager going to do as well as (or
better than) the old one? Your guess is as good as mine. I think you
have a 50/50 chance.
Mike
| |||||