Managed funds

[Bev]

re Discovery - I wonder what is happening with TUA?

[Shareguy]

re Discovery - I wonder what is happening with TUA?

Great result and the sp up on a down day. Have a look at Q126 actual. A stunning first quarter.

FY25 NPAT 6.9m
Q126 NPAT 9.1m

[Basil]

https://discoveryfunds.co.nz/assets/Newsletters/Discovery-November-25.pdf
Underperformance for November a whopping 8%
Underperformance for the last 6 months 14.6%
Underperformance for the last year 11%
Strategy still working ?  Run out of idea's ?  Paying too much for growth ?  Holding previous winners too long ?  Some combination of these ?
Nothing worth celebrating this year that I can see at their annual celebration tonight.  Wonder what the mood of the room will be like this year  after last years euphoria ?  I'm not going along to find out.

[BlackPeter]

https://discoveryfunds.co.nz/assets/Newsletters/Discovery-November-25.pdf
Underperformance for November a whopping 8%
Underperformance for the last 6 months 14.6%
Underperformance for the last year 11%
Strategy still working ?  Run out of idea's ?  Paying too much for growth ?  Holding previous winners too long ?  Some combination of these ?
Nothing worth celebrating this year that I can see at their annual celebration tonight.  Wonder what the mood of the room will be like this year  after last years euphoria ?  I'm not going along to find out.

Just noticing - they put the most important information for their investors even in bold letters on the footer of their newsletter:

An investment may achieve a lower than expected return and investors risk losing some or all of their principal investment. Past performance is no indication of future performance

So, I guess, they just deliver what they always promised ...

[Basil]

That's the standard disclaimer you see on all unit trusts and funds but well worth keeping in mind.
Maybe they just got lucky with 360 (up 600% since the fund formed and GDG up a similar amount) and now they have run out of idea's ?

[entrep]

That's the standard disclaimer you see on all unit trusts and funds but well worth keeping in mind.
Maybe they just got lucky with 360 (up 600% since the fund formed and GDG up a similar amount) and now they have run out of idea's ?
That would seem to be the case.

Seems like it. They should start providing more detail. Lucky I found this thread as from the newsletters alone I was intending to invest at some point. Will hold off until things are clearer

[Basil]

Discovery is a closed wholesale fund and was originally a minimum $250K investment.  They might open the fund soon with the way its been performing.

[entrep]

Discovery is a closed wholesale fund and was originally a minimum $250K investment.  They might open the fund soon with the way its been performing.

I knew the $250K but how do you know its closed?

[Basil]

I knew the $250K but how do you know its closed?

They closed it to new investment in Sept 2024.

[Bev]

Any insights from Discovery's xmas do?

[Shareguy]

Any insights from Discovery's xmas do?

Was about 100 odd of us who attended. Mark and Chris both spoke about how disappointed they were on the recent performance of the fund. They made the point that the fund is still up 15 percent ytd. They have used the volatility to increase positions and are still very positive.

I personally spend a bit of time with both of them and tried to find out what percentage of the fund 360 was and if they had a rule on taking profits. My questions unfortunately did not get answered and I was told it was confidential and wouldn't be disclosed. I also asked with this recent volatility had there been many withdrawals and I was told no ,so I guess that says that most people are happy with the way things are going.

Also spoke to some other investors who were not fazed re the performance.

A very good night was had.

[Bev]

Thanks Shareguy

[BlackPeter]

Was about 100 odd of us who attended. Mark and Chris both spoke about how disappointed they were on the recent performance of the fund. They made the point that the fund is still up 15 percent ytd. They have used the volatility to increase positions and are still very positive.

I personally spend a bit of time with both of them and tried to find out what percentage of the fund 360 was and if they had a rule on taking profits. My questions unfortunately did not get answered and I was told it was confidential and wouldn't be disclosed. I also asked with this recent volatility had there been many withdrawals and I was told no ,so I guess that says that most people are happy with the way things are going.

Also spoke to some other investors who were not fazed re the performance.

A very good night was had.

Just curious - given its a closed fund ... how would people get out, if they want to? I suppose they would need to find a buyer, don't they?

[Bev]

It means closed to new investors.  Ten business days for withdrawals. 

[777]

Just curious - given its a closed fund ... how would people get out, if they want to? I suppose they would need to find a buyer, don't they?

They pay you out of incoming funds or have to sell some stock. Hence the 10 days to do this. Same a kiwisaver or any other unit trusts.