M* Pod Cast: Primecap

[yogibearbull]

A rare interview.
the-long-view.simplecast.com/episodes/joel-fried-and-al-mordecai-upholding-the-culture-at-primecap-management-XJ2EmBIv/transcript

[chang]

Interestingly, Vanguard is considering reopening VPMCX/VPMAX and/or changing the $25k/yr limit.

[Deleted]

Has primecap having outflow issues due to under performing for many years this tech driven market?

Is primecap like capital group (American funds)? Always reliably middle on performance.

[roi2020]

Jan 31, 2024 21:05:20 GMT chang said:

Interestingly, Vanguard is considering reopening VPMCX/VPMAX and/or changing the $25k/yr limit.

This is interesting.
I listened to The Long View podcast but reopening VPMCX/VPMAX wasn't mentioned.
Where did you hear this and do you have any additional information?
Thanks!

[chang]

Feb 1, 2024 7:44:07 GMT roi2020 said:

Jan 31, 2024 21:05:20 GMT chang said:

Interestingly, Vanguard is considering reopening VPMCX/VPMAX and/or changing the $25k/yr limit.

This is interesting.
I listened to The Long View podcast but reopening VPMCX/VPMAX wasn't mentioned.
Where did you hear this and do you have any additional information?
Thanks!

Vanguard sent me a survey with questions around it (opening Primecap and/or raising or eliminating the annual caps). They said I was selected because I owned one of the Primecap funds (VHCAX).

It looked like they were considering a change only to Primecap and not Cap Opp.

[yogibearbull]

roi2020, chang, thanks for clarification. I also didn't notice anything about VPMCX/VPMAX reopening in the Podcast, and went back to double-check. I also searched the web for any related news, but didn't find any.

I also own a big chunk of VHCAX, but I didn't get the survey that chang did.

[roi2020]

Feb 1, 2024 9:23:39 GMT chang said:

Feb 1, 2024 7:44:07 GMT roi2020 said:

This is interesting.
I listened to The Long View podcast but reopening VPMCX/VPMAX wasn't mentioned.
Where did you hear this and do you have any additional information?
Thanks!

Vanguard sent me a survey with questions around it (opening Primecap and/or raising or eliminating the annual caps). They said I was selected because I owned one of the Primecap funds (VHCAX).

It looked like they were considering a change only to Primecap and not Cap Opp.

Thanks, chang
I'm invested in VPMAX and VPCCX.
I also received the survey but deleted the email unaware that Primecap was featured.
The email was in my Trash folder so I just completed the survey moments ago.

It appears Vanguard is also considering reopening Vanguard Capital Opportunity Fund:
"Vanguard is considering reopening a fund that has been closed or limited to certain investors for the last decade. Here is information about this fund:
Vanguard Capital Opportunity Fund – Capital Opportunity is an active, aggressive growth fund that invests in companies of all sizes across market cap (large, mid, & small) primarily in the US. The PRIMECAP manager expects that these companies will grow over time but may be volatile in the short-term."

The following survey question really piqued my interest:
"Does the Vanguard PRIMECAP investment limit of $25,000 per year impact your investment decisions?"

Well, yes it does.

I'd exchange my entire VPCCX investment for VPMAX if Vanguard allowed it.

[retiredat48]

yogibearbull,...Thanks for link.

R48

[mrc]

I did not get any such communication from Vanguard, but my brother received it.
He is relatively high network investor than me :-)

I invested in VHCOX a while ago when it was opened and stuck to it since then even though it underperformed since then, though its last 3 performance is good as it did not go down as much as typical large/mid growth fund in the 2021-22 correction.

[chang]

That’s interesting roi2020. My survey was about Primecap Fund (VPMCX/VPMAX), not Cap Opp. Clearly, all options are on the table.

[bigseal]

The two representatives from Primecap have terrible interviewing skills. Sounded like they were reading from a script. Certainly clear why they don’t do a lot of interviews. Really bad for drumming up business.