? Mutual Funds: Green Eggs and Ham? |
| Magellan comes out of the closet ?
January 19, 2006
In Praise of Ron Muhlenkamp
The market timing scandal, brain drain to hedge funds and deluge of new ETFs coming to market have combined to make the traditional mutual fund manager look downright buggywhippish these days. Fortunately, manager Ronald Muhlenkamp, a straight-shooter who sports a professorial, Civil War-caliber beard and consistently solid performance, is in no imminent danger of becoming obsolete.
His Muhlenkamp Fund (MUHLX) has posted an average annualized return of 12% in the past five years -- emasculating the S&P 500's crapisimo 0.60% gain. I like how the veteran takes the time to reason aloud on his Web site, handholding on everything from household budgets to Social Security to Capitol Hill's blowharding re: oil-company profits.
He wisely bought a ton of Mexican cement giant Cemex (CX), sensing the voracious demand for the product courtesy of the homebuilding frenzy -- and how the rebuilding Gulf region would need to draw down even more. Today the U.S. announced it will be slashing duties on Mexican cement. Cemex shares have nearly doubled in a year.
A shoutout to Ron for providing much-needed comfort to my mom's retirement account.
TrackBack URL for this entry:
Yes, great praise for the 5 year trailing performance, but what has been going on for the last year? Is Ron on vacation? Who's minding the store? MUHLX performance is in the bottom 25% of the category for the last year, and downright dismal lately.
A shout out to Ron: the recent backslide isn't very comforting....
Posted by: Joe Merchant at March 13, 2006 11:24 PM
Do you have any on line access to my accounts? If not do you plan on ever having this service for your account holders
Posted by: Linda Bernier at March 16, 2006 08:30 PM