Post by yogibearbull on Apr 8, 2023 12:31:38 GMT
Barron’s Funds Quarterly (2023/Q1–April 10, 2023)
www.barrons.com/topics/mutual-funds-quarterly
(Performance data quoted in this Supplement are for 2023/Q1 and YTD to 3/31/23)
Pg L3: After lagging for several years, the INTERNATIONAL/GLOBAL funds are relatively cheap (value cheaper than growth) and may outperform. Use risk control strategies – lower SDs, favorable U/D CR, etc. For the US investors in foreign funds, a strong DOLLAR has been a headwind. OEFs: AIVBX, BISAX, FISMX, FMIJX, GQGPX, RNWOX, SGENX, SIGIX, TBGVX; ETFs: ACWV, EFA, EFAV, EFG, EFV, EEM, HDG, HEFA, VIGI. (By @lewisbraham at MFO)
Pg L8: The US-China DECOUPLING will take a while. China has also been tough on its big techs. But small-caps have escaped the watchful eyes of the Chinese government. OEFs: FHKCX, MCDFX, MCHFX, MCSMX, RNWOX, SIGIX, SGOVX; ETFs: ASHR, CHIQ, CNYA, CQQQ, CXSE, EWH, FXI, GXC, KBA, KWEB, MCHI, PGJ. (By @lewisbraham at MFO)
Pg L9: GROWTH funds are rebounding, but be selective. Some former big techs have fallen off the growth wagon and some energy companies have joined. Large-cap growth (IVW, MGK, RPG, SCHG) has been outperforming small/mid-cap growth (IJT, RZG). The OEFs mentioned are HCAIX, TRBCX, VWIGX.
EXTRA: FAITH-BASED funds cover a wide variety and several are rebounding. Vatican published its investment guidelines in November 2022 that also included responsible ESG. Private direct-indexing is a growing area. (By @lewisbraham at MFO)
Fund news from elsewhere in Barron’s (Forthcoming Part 2).
Pg 13, FUNDS. MUNI MONEY-MARKET funds (tax-exempt) with near juicy 4% yields are attractive. This is a tiny area with $130 billion AUM only vs $500 billion AUM pre-GFC-2008, and $5 trillion AUM for taxable money-market funds. These invest in floating-rate munis (VRDNs) that reset rates weekly according to the SIFMA rates. Typically, the SIFMA rates are 40-80% of (taxable) fed fund rates, but they are elevated now due to redemptions to pay taxes (so, these high rates may not last beyond April). These funds partner with BANKS to provide daily and weekly liquidity guarantees. By definition, their DURATION is considered to be the rate reset period regardless of the maturities of the underlying munis (so, don’t get alarmed when looking at their holdings and maturities). Mentioned are FTEXX / FTCXX, SWTXX, VMSXX, VTMXX. (Their overall structure and rate resetting process seem complicated and may have unknown risks)
Pg 24, INCOME INVESTING. Selected REITs are attractive after their recent battering. Their earnings have been cut but the SP5500 earnings remain OK (so, the REITs client companies are doing fine). A FED pause will benefit the REITs, but RECESSION won’t, so it’s time only to nibble in REITs. Attractive REITs are industrial (PLD, ADC, GLPI), residential, self-storage, data-centers. Avoid REITs for offices and malls (big/regional or strip/local). Several publicly traded REITs are more attractive than private real estate (that suffer from lagging mark-to-market; negative news on monthly/quarterly redemption limits for several nontraded-REITs).
Pg L33: In 2023/Q1 (SP500 +7.50%): Among general equity funds, best were LC-growth +13.52%, multi-cap-growth +11.35%, and worst were small-cap-value +0.77%, mid-cap-value +0.84%, equity-income +0.95%; ALL general equity categories were positive AGAIN. Among other equity funds, the best were sc & tech +18.80%, telecom +11.66%, global large-cap-growth +11.10%, and worst were financials -7.77%. Among fixed-income funds, domestic long-term FI +2.55%, world income +2.96%; ALL FI categories were positive too AGAIN (FI isn’t very refined in Lipper mutual fund categories listed in Barron’s). So, good 2022/Q4 (value shined) & 2023/Q1 (LC growth shined).
LINK
www.barrons.com/topics/mutual-funds-quarterly
(Performance data quoted in this Supplement are for 2023/Q1 and YTD to 3/31/23)
Pg L3: After lagging for several years, the INTERNATIONAL/GLOBAL funds are relatively cheap (value cheaper than growth) and may outperform. Use risk control strategies – lower SDs, favorable U/D CR, etc. For the US investors in foreign funds, a strong DOLLAR has been a headwind. OEFs: AIVBX, BISAX, FISMX, FMIJX, GQGPX, RNWOX, SGENX, SIGIX, TBGVX; ETFs: ACWV, EFA, EFAV, EFG, EFV, EEM, HDG, HEFA, VIGI. (By @lewisbraham at MFO)
Pg L8: The US-China DECOUPLING will take a while. China has also been tough on its big techs. But small-caps have escaped the watchful eyes of the Chinese government. OEFs: FHKCX, MCDFX, MCHFX, MCSMX, RNWOX, SIGIX, SGOVX; ETFs: ASHR, CHIQ, CNYA, CQQQ, CXSE, EWH, FXI, GXC, KBA, KWEB, MCHI, PGJ. (By @lewisbraham at MFO)
Pg L9: GROWTH funds are rebounding, but be selective. Some former big techs have fallen off the growth wagon and some energy companies have joined. Large-cap growth (IVW, MGK, RPG, SCHG) has been outperforming small/mid-cap growth (IJT, RZG). The OEFs mentioned are HCAIX, TRBCX, VWIGX.
EXTRA: FAITH-BASED funds cover a wide variety and several are rebounding. Vatican published its investment guidelines in November 2022 that also included responsible ESG. Private direct-indexing is a growing area. (By @lewisbraham at MFO)
Fund news from elsewhere in Barron’s (Forthcoming Part 2).
Pg 13, FUNDS. MUNI MONEY-MARKET funds (tax-exempt) with near juicy 4% yields are attractive. This is a tiny area with $130 billion AUM only vs $500 billion AUM pre-GFC-2008, and $5 trillion AUM for taxable money-market funds. These invest in floating-rate munis (VRDNs) that reset rates weekly according to the SIFMA rates. Typically, the SIFMA rates are 40-80% of (taxable) fed fund rates, but they are elevated now due to redemptions to pay taxes (so, these high rates may not last beyond April). These funds partner with BANKS to provide daily and weekly liquidity guarantees. By definition, their DURATION is considered to be the rate reset period regardless of the maturities of the underlying munis (so, don’t get alarmed when looking at their holdings and maturities). Mentioned are FTEXX / FTCXX, SWTXX, VMSXX, VTMXX. (Their overall structure and rate resetting process seem complicated and may have unknown risks)
Pg 24, INCOME INVESTING. Selected REITs are attractive after their recent battering. Their earnings have been cut but the SP5500 earnings remain OK (so, the REITs client companies are doing fine). A FED pause will benefit the REITs, but RECESSION won’t, so it’s time only to nibble in REITs. Attractive REITs are industrial (PLD, ADC, GLPI), residential, self-storage, data-centers. Avoid REITs for offices and malls (big/regional or strip/local). Several publicly traded REITs are more attractive than private real estate (that suffer from lagging mark-to-market; negative news on monthly/quarterly redemption limits for several nontraded-REITs).
Pg L33: In 2023/Q1 (SP500 +7.50%): Among general equity funds, best were LC-growth +13.52%, multi-cap-growth +11.35%, and worst were small-cap-value +0.77%, mid-cap-value +0.84%, equity-income +0.95%; ALL general equity categories were positive AGAIN. Among other equity funds, the best were sc & tech +18.80%, telecom +11.66%, global large-cap-growth +11.10%, and worst were financials -7.77%. Among fixed-income funds, domestic long-term FI +2.55%, world income +2.96%; ALL FI categories were positive too AGAIN (FI isn’t very refined in Lipper mutual fund categories listed in Barron’s). So, good 2022/Q4 (value shined) & 2023/Q1 (LC growth shined).
LINK
