PenderFund

The Globe & Mail: Don’t get mired in value trap stocks

Written on . Posted in Globe & Mail, In The News

Shirley Won talks to Pender President & PM, David Barr, about avoiding value traps, taking advantage during tax sell-off season, and our investments in Freshii (FRII) and Maxim Power Corp (MXG).

David Barr “also goes into tax-loss-selling season armed with a shopping list of well-researched stocks that he hopes to pick up cheaply when people are ‘selling for irrational reasons.’

‘We try to skew our portfolio to higher quality businesses, and that generally helps to avoid value traps…If the underlying business is growing and creating more cash flow, that in itself acts as a catalyst to move the share price for you,’ said the value-oriented fund manager.”

Read full article

Tags: ,