Malachite Aggressive Preferred Fund has been valued for May, 2007, month-end. The unit value is $9.3259. Returns over various periods are:
|MAPF Returns to May 31, 2007|
|Two Years (annualized)||+5.21%|
|Three Years (annualized)||+6.84%|
|Four Years (annualized)||+10.29%|
|Five Years (annualized)||+9.52%|
|Six Years (annualized)||+10.64%|
Returns assume reinvestment of dividends, and are shown after expenses but before fees. Past performance is not a guarantee of future performance. You can lose money investing in Malachite Aggressive Preferred Fund or any other fund. For more information, see the fund’s main page.
Well, this month’s returns remind me of the story about the broken-down old gambler, heading to the racetrack with the milk money and telling his buddy “I hope I break even today – I need the money!”.
The total return before fees was -0.88% and I certainly don’t want too many more months in a row of that stuff! However, when it is compared with the various HIMI indices, one realizes that it could have been a lot worse.
When one examines the returns of the passive funds in that last link, one realizes that for most people, it was indeed a lot worse: the Net Asset Value Per Share of CPD was down 2.36% on the month and DPS.UN probably did worse.
The markets will fluctuate. An investor who does not indulge a penchant for market-timing will simply select an appropriate asset allocation and try to outperform within each asset class … and, when looked at from the perspective of such an investor, losing less money in a bad month is just as good as making more money in an up month. I’m very pleased that the fund was fully invested throughout May and yet still managed to lose so little money.
The fund did a fair amount of trading during the month and a fair amount of investment was shifted from the SplitShare sector into the PerpetualPremium sector, as retail scrambled to sell anything with the word “Perpetual” in its description. I have already posted the sectoral characteristics at month-end.
I anticipate a heavy trading volume in June, when the non-engaged segment of retail gets a look at their statements and as the fundcos attempt to beautify their portfolio statements for their semiannual reports. But who knows? Stay tuned!
Update, 2007-6-15: Sentry Select has posted the historical returns for DPS.UN:
|DPS.UN Returns to 2007-5-31
“Average Annual Compound Returns”