#sequoia fund

[johnpreese]

Managing Risk in Concentrated Funds

Managing Risk in Concentrated Funds

Concentrated investment funds are inherently risky, but that is why a good manager may make all the difference, according to a recent piece in Barron’s. The article profiles several concentrated funds, usually holding less than 35 stocks at any given time (and thus not simply mirroring an index), that have achieved relatively low risk and better-than-benchmark returns. Such funds often fall out…

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[johnpreese]

Long Term Champ Sequoia Fund Shows the Risk of Ultra High Portfolio Concentration

Long Term Champ Sequoia Fund Shows the Risk of Ultra High Portfolio Concentration

The Sequoia Fund, managed by proteges of Warren Buffett, highlights the risks of focusing on just a few stocks.  Although it has one of the best long-term records of any actively managed mutual fund, two of its directors recently retired because a big bet on just one stock, Valent Pharaceuticals, turned out poorly.

The tradition of an “under-diversified” portfolio, however, includes some big…

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[averagestan-blog]

Magic Johnson - an excerpt from today's WSJ editorial column on Sequoia Fund's letter to Goldman Sachs investors, opposing renomination of ex-Fannie CEO (C = crook), Jim Johnson, to GS' BoD.

We've got the best rigged system money can buy, eh?