Q: Hello Pat and team. I heard some people recommending these funds: Trimark Europlus Fund, Capital Group Global Equity Fund, Brandes Emerging Markets Value Fund and the Invesco Global Real Estate Fund. I know you don’t necessarily recommend mutual funds over stocks. But, please, may I have the benefit of your thinking on these ones, in particular? Thanks!

A: We think that mutual funds are okay to hold if you own them, but we have moved away from recommending mutual funds in favour of exchange-traded funds (ETFs). They charge much lower fees. We feel that most fund investors should shift into ETFs wherever… Read More

Pat: What is your view on buying the Canadian Vector Equity Fund? I believe it’s tilted towards value stocks and small cap stocks. Its MER is higher than an ETF, but maybe the value and small-company approach over long periods of time will add value. What are your thoughts on going with this mutual fund or a small-cap ETF such as the iShares S&P/TSX SmallCap Index ETF?

A: On a broad level, funds that specialize in small-cap stocks are always more volatile. However, some small caps do offer above-average potential—like those we recommend in Stock Pickers Digest.
Incidentally, we think it’s a mistake to generalize about small cap stocks. Some small caps are… Read More

Q: Pat: Could you please give me your opinion on two American closed-end funds: Liberty All-Star Equity Fund and AllianzGI Equity & Convertible Income Fund? The yields are great on each fund and you are getting their holdings at a discount. Thank you in advance.

A: Liberty All-Star Equity Fund, $5.22, symbol USA on New York (Units outstanding: 186.8 million; Market cap: $975.1 million; www.all-starfunds.com), is a closed-end fund that aims to combine the stock recommendations of three value-style and two growth-style investment managers.
The fund started up on October 31,… Read More

Pat: What do you think about buying one or more of the following funds: the Dynamic Global Growth Opportunities Fund, the Picton Mahoney Long Short Equity Fund and the Sprott Hedge Fund. Thank you.

A: The Dynamic Global Growth Opportunities Fund, the Picton Mahoney Long Short Equity Fund and the Sprott Hedge fund take both long and short positions in securities, as do most hedge funds.

Those two activities differ widely. When you buy high-quality stocks… Read More

How to pick the best long term mutual funds

How to pick the best long term mutual funds

The best long term mutual funds hold well-diversified portfolios of high quality stocks—stocks you can hold for a long time.
The topic of how to pick the best long-term mutual funds came up at the office recently. About a month ago, a friend’s son was considering… Read More

Stock Pickers Digest Hotline – Friday, August 22, 2014

BELLATRIX EXPLORATION LTD., $8.53, symbol BXE on Toronto, produces natural gas (65% of output) and oil (35%) in Alberta, B.C. and Saskatchewan.

Bellatrix jumped 14% this week after U.S. activist investor Orange Capital LLC revealed that it has been investing in the company since July 2… Read More

Partners give these gas stocks an edge

These two juniors have done better that most recently by taking on partners to pay a big part of their drilling costs. That leaves them in a great position to rise even further when natural gas prices turn upward. BELLATRIX EXPLORATION $6.97 (Toronto symbol BXE;… Read More