The World Has Not Ended (Yet)

Monday morning, everything in the investing world appeared to be fine (aside from Greece, China, Brazil, Russia, and a few other disasters).  That day the S&P 500 closed at 210.59.  On Tuesday, traders became concerned that global growth was slowing and the world was going to end soon, or at least go into a recession, and they began selling.  On Thursday, the S&P 500 closed at 203.97, a loss of 3.1%.  Today it is likely to close in the 198 to 200 range.  In four days it will have lost almost 6%. 

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Thoughts of an Investment Advisor - 2nd Quarter 2015 - Part 3

As I discussed in my last post, I am considering what to do with one of our positions that is underperforming so far this year – Gotham Market Neutral fund.  I have now participated in the Second Quarter update call on the Gotham funds as well as a roundtable conference call with the fund managers.  I have to say I came away very impressed by the managers’ knowledge, methodology, ability to explain complex issues, and willingness to answer some pretty tough questions.  The most surprising thing I heard was that all of their funds are still experiencing net inflows.  In other words, their investors are not bailing. 

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Thoughts of an Investment Advisor - 2nd Quarter 2015 - Part 2

Looking back on the year so far, two of our funds come to mind.  T Rowe Price Capital Appreciation, a balanced fund that owns stocks and bonds is running on all cylinders.  Gotham Neutral Institutional, a long-short fund is having serious difficulties.  Capital Appreciation is one of the best balanced funds around.  It is in the top 1% of balanced funds...

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