General
AUM Details
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Rates of return gross of fees
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Description |
The Fund generally follows a value approach to precious metals investing. This involves meeting with company management and conducting mine visits to thoroughly understand the quality of a company's mineral assets and people. The manager then compares his valuations of a company's assets to the prices available in the stock market for that company. The Fund selects securities that has a market price below its intrinsic value.
Investment ideas for precious metals securities are generated internally, and we have built proprietary models for valuing them. From time to time, ideas come to our firm from investment dealers. We thoroughly study each idea and perform our own analysis. We calculate a value for each mine asset a company possesses, and then sum the parts. Emphasis is placed on the “option value pricing” method in our process, to derive a target price for each security. This is a unique method of valuation that is little used or understood in the investment community, yet it is integral in the work we do. We tend to avoid precious metals peer group comparisons, which is more generally utilized by other firms. We believe our focus on proprietary modelling has given us a distinct advantage in managing precious metals assets.
In addition, our firm employs a team approach, which allows Cohen to leverage the hard work of our other analysts and portfolio managers in the search for useful information. Particularly, Cohen focuses on bottom-up company fundamentals in his work, but draws top-down macroeconomic inputs from others on our team when needed. Finally, our reputation in Canada and abroad ensures good ‘deal flow'. We manage over CDN$1Billion across our portfolios, so we see a lot of opportunities from the sell-side in terms of financings and issuance to choose from.
We rank precious metals stocks by the value of their assets and management. They are weighted in the portfolio by their status as producers or non-producers. The model portfolio weighting is 80% producers and 20% non-producers. We also diversify the portfolio by owning securities that have exposure to various other mineral assets such as copper or zinc. Such exposure usually represents about 10% of the portfolio weighting at any given time. As additional risk control, the portfolio's cash level is employed strategically. We allow the cash position to build in periods of uncertainty or overvaluation, and we deploy cash when prices are attractive.
Attractive valuations with identifiable catalysts drive our buy decisions. A disposition of stock can be caused by (i) a fundamental change in a company's assets or management, (ii) reaching our target price with no additional upside potential, or (iii) negative political/environmental developments that we think will impact the company.
Key Reasons to own the Fund:
Investment Process |
The Fund generally follows a value approach to precious metals investing. This involves meeting with company management and conducting mine visits to thoroughly understand the quality of a company's mineral assets and people. The manager then compares his valuations of a company's assets to the prices available in the stock market for that company. The Fund selects securities that has a market price below its intrinsic value.
Investment ideas for precious metals securities are generated internally, and we have built proprietary models for valuing them. From time to time, ideas come to our firm from investment dealers. We thoroughly study each idea and perform our own analysis. We calculate a value for each mine asset a company possesses, and then sum the parts. Emphasis is placed on the “option value pricing” method in our process, to derive a target price for each security. This is a unique method of valuation that is little used or understood in the investment community, yet it is integral in the work we do. We tend to avoid precious metals peer group comparisons, which is more generally utilized by other firms. We believe our focus on proprietary modelling has given us a distinct advantage in managing precious metals assets.
In addition, our firm employs a team approach, which allows Cohen to leverage the hard work of our other analysts and portfolio managers in the search for useful information. Particularly, Cohen focuses on bottom-up company fundamentals in his work, but draws top-down macroeconomic inputs from others on our team when needed. Finally, our reputation in Canada and abroad ensures good ‘deal flow'. We manage over CDN$1Billion across our portfolios, so we see a lot of opportunities from the sell-side in terms of financings and issuance to choose from.
We rank precious metals stocks by the value of their assets and management. They are weighted in the portfolio by their status as producers or non-producers. The model portfolio weighting is 80% producers and 20% non-producers. We also diversify the portfolio by owning securities that have exposure to various other mineral assets such as copper or zinc. Such exposure usually represents about 10% of the portfolio weighting at any given time. As additional risk control, the portfolio's cash level is employed strategically. We allow the cash position to build in periods of uncertainty or overvaluation, and we deploy cash when prices are attractive.
Attractive valuations with identifiable catalysts drive our buy decisions. A disposition of stock can be caused by (i) a fundamental change in a company's assets or management, (ii) reaching our target price with no additional upside potential, or (iii) negative political/environmental developments that we think will impact the company.
Fees |
Series I units
Minimum Investment $1M
On the first $10 Million
0.75%
On the next $40 Million
0.60%
On the next $50 Million
0.50%
Over $100 Million
0.35%
Separate Account (sub-advisory)
Minimum Investment $10M
On the first $50 Million
0.35%
On the next $50 Million
0.25%
On the next $150 Million
0.21%
Over $250 Million
0.18%
HNW Fees |
Series I units
Minimum Investment $1M
On the first $10 Million
0.75%
On the next $40 Million
0.60%
On the next $50 Million
0.50%
Over $100 Million
0.35%
Separate Account (sub-advisory)
Minimum Investment $10M
On the first $50 Million
0.35%
On the next $50 Million
0.25%
On the next $150 Million
0.21%
Over $250 Million
0.18%
Graphs |
Risk Return |
Rolling 4 years graph |
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Calculated based on 20 quarters ending 2010-06-30 |
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Value of $1 |
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