Canadian Money Forum banner

1 - 7 of 7 Posts

·
Registered
Joined
·
204 Posts
Discussion Starter #1 (Edited)
Back in the heyday of mutual fund mania (that would be the 1990s), there was a period when most every financial advisor recommended either Trimark Fund or Templeton Growth Fund. As time marched on, they might have added Fidelity International, Saxon World, AGF International Value or Brandes Global Equity. Or maybe Universal Growth Fund or some other fund.

Don't hear much about these nowadays though I'm sure legacy clients still have billions in them, collectively.

Does everyone here use ETFs instead or are there still some who like these oldies but goodies? Do you feel they preserved capital during the bear market or went down with the indexes? If so, are you adding to your position in recent months?

I suppose my blog has occasionally mentioned some or all of these, but not much lately:

www.wealthyboomer.ca
 

·
Registered
Joined
·
14 Posts
Jon, I happen to have funds in Trimark Fund right now.

My technique has varied over time, but right now here is my approach. I establish my allocation percentages in three categories (Fixed income, Canadian equity, Foreign equity). Then, in each of those three categories, I split my deposit between an index fund and the actively managed fund (available in my Manulife package) that has performed best over the last 5 years, provided it has beaten its index.

In the foreign equity category, my funds are currently split between ML Trimark Fund and ML BGI Interest’l Equity Index Fund.

As I recall, over the last troubled year, in Canadian equity my index fund outperformed the one actively managed by Fidelity but on the foreign front, Trimark Fund lost less than the index fund. (P.S. The Manulife server was down last night when I wanted to check this. It turns out that, as of March 31, the Fidelity fund had actually outperformed the index fund by an even better margin than Trimark Fund had done in the international category. Unfortunately, Trimark's IMF is high and that narrows the gap there.)
 

·
Banned
Joined
·
701 Posts
Back in the heyday of mutual fund mania (that would be the 1990s), there was a period when most every financial advisor recommended either Trimark Fund or Templeton Growth Fund. As time marched on, they might have added Fidelity International, Saxon World, AGF International Value or Brandes Global Equity. Or maybe Universal Growth Fund or some other fund.

Don't hear much about these nowadays though I'm sure legacy clients still have billions in them, collectively.

Does everyone here use ETFs instead or are there still some who like these oldies but goodies? Do you feel they preserved capital during the bear market or went down with the indexes? If so, are you adding to your position in recent months?

I suppose my blog has occasionally mentioned some or all of these, but not much lately:

www.wealthyboomer.ca
My wife and I don't feel that mutual funds provide any value to us - diversification never made any sense to us. I do, however, remember those names in our friend's portfolios.
 

·
Registered
Joined
·
75 Posts
I feel like we've been far too involved with the pack now!

In the past we've had Trimark Fund, Templeton Growth and Universal Growth. Currently have Brandes Global Equity amongst a variety of Fidelity, CI Portfolio Series, Cundill Recovery and AGF Elements.

That said, we have cut back on all mutual funds to focus on wiping out our mortgage.

As far as preserving capital, I have poor impressions on the Brandes and they won't get anymore of our money. When the markets are back up I will have to evaluate switching it over to a better fund.
 

·
Registered
Joined
·
2,626 Posts
All our foreign exposure is either through ETFs (wife's portfolio) or individual stocks (mine).

When you look through the top holdings of those funds, the majority are available to North American retail investors through ADRs.

I think with so many products on the market now, its quite easy to get adequate exposure to foreign markets - no need to rely on the heavy-weight mutual funds anymore. Also, with a basket of ETFs, you can get exposure to 'hotter' markets like the BRIC countries if you are interested, whereas those 'global funds' you mention have very little.
 

·
Registered
Joined
·
204 Posts
Discussion Starter #7
Another one is Cundill Value. My wife still owns it in her RRSP, along with Trimark and Templeton. These funds always used to get 4 dollar ratings in guidebooks like Gordon Pape's annual mutual fund guides. Whatever happened to those?

Related question: how much do fund investors here put credence on Morningstar's 5-star rating system?

www.financialpost.com/fd
 
1 - 7 of 7 Posts
Top