“Luck is random, but the ability to capitalize on luck isn’t necessarily random.” – Mari Kuraishi Highlights Fund returned 7.8%, with notable contributions from small cap equity and real-estate holdings First Fed reduction in borrowing […]
As published in CFA Institute Enterprising Investor on July 29, 2024. How confident are you in what you know? In 2002, Donald Rumsfeld, U.S. Secretary of Defense spoke these, now-famous, words during a Pentagon briefing: […]
“The only difference between a salad and garbage is timing.” – Andrew Lo, MIT Professor Highlights The Fund returned 1.4% in the second quarter of 2024, with notable contributions from Pender Corporate Bond Fund (fixed […]
As seen in the Globe & Mail on May 16, 2024 (for subscribers only) In the professional sphere, investment risk is defined in technical terms with mathematical ratios, such as standard deviation, Sharpe Ratio, Beta, […]
As published in the Financial Post on 26 April 2024 Question: Some of my security investments have increased in value in both my registered and non-registered accounts. I’m having a hard time knowing when to […]
“ In finance textbooks, “risk” is defined as short-term volatility. In the real world, risk is earning low returns, which is often caused by trying to avoid short-term volatility.” – Morgan Housel Dear Unitholders, The […]
As published in the Financial Post on 29 March 2024. Q: What is a “behavioural edge” in investing? How does it potentially enhance returns? How can an investor develop it? – Giovanni FP Answers: “Behavioral […]
“The main reason investors struggle with how to react to bad news is that they really haven’t figured out why they own the stocks they own.” – Bill Nygren Highlights Solid quarter caps off positive […]
“It’s not whether you’re right or wrong that’s important, but how much money you make when you’re right and how much you lose when you’re wrong.” – George Soros Highlights The Fund recorded positive performance […]
Highlights Within the Fund’s equity holdings, strong positive contributions came from Onex Corp. (TSX: ONEX), ARC Resources Ltd. (TSX: ARX), and Burford Capital Ltd. (NYSE: BUR). Detractors included Brookfield Corporation (TSX: BN), Texas Pacific Land […]
As seen in The Globe and Mail, July 19, 2023 (for subscribers only) A company’s balance sheet tells investors if the firm could be vulnerable to a change in business conditions or be able to […]
I’ve lost count of how many job aspirants have claimed to be “lifelong learners.” Hat tip to them. I’ve yet to encounter anyone boasting of their unlearning skills, but I’d be keen to meet such […]
HIGHLIGHTS The Fund returned 2.6% in the first quarter. Over the last three years, performance has been strong at 17.3%1. One of the major areas of market concern during the quarter was the meltdown of […]
“All investment evaluations should begin by measuring risk.” — Charlie Munger, Vice Chairman – Berkshire Hathaway We are old fashioned when it comes to our definition of risk. We concur with the dictionary’s basic term, […]
“The greatest shortcoming of the human race is man’s inability to understand the exponential function.” – Allen Bartlett According to ancient legend, chess was invented by Grand Vizier Sissa Ben Dahir around 6th century AD […]
Investors, are you ready for a regime change? On January 22nd, the first day of the Chinese lunar year, we bade adieu to the ferocious Tiger who passed the baton to this year’s mascot: the […]
HIGHLIGHTS Our equity exposure to energy companies led the way with Spartan Delta Corp. (TSX: SDE), ARC Resources Ltd. (TSX: ARX), and Texas Pacific Land Corporation (NYSE: TPL) among the top five contributors. Defense contractor […]
As seen in The Globe & Mail on January 16, 2023 The Globe & Mail: Why market predictions fail and how to prevent falling for them (for subscribers only) “The lesson is that no amount of […]
In this month’s column I look at the “Year That Was” and what I learned during one of the most tumultuous investing years in recent history. Inflation: Up, up and away? In 2022, after nearly […]
As seen in The Globe & Mail on December 7, 2022 The Globe & Mail: How advisors can help investors ‘cultivate’ the superpower of patience (for subscribers only) Short-termism is the enemy of building wealth. History […]
“The big money is not in the buying and selling … but in the waiting.”— Charlie Munger What is the “patience premium”? Investors are well-versed in such terms as “value premium” and “equity risk premium” […]
Highlights Policymakers in most parts of the world have raised rates this year with the count and pace continuing to mount. The US Bond Market has had a -0.3% annualized return over the last five […]
“What is popular isn’t always the truth. And the truth isn’t always popular.”–Howard Cosell, US sports journalist Contrarians have a bad reputation. People think we’re ornery and reflexively pessimistic. I beg to differ. On the […]
The book illustrates the traits, temperaments, and actions that often separate the survivors from everyone else.
In this article, I’ll attempt to unpack where we are today and what’s ahead. And, spoiler alert, there are reasons for optimism despite the current headlines
Dear Unitholders, The second quarter of 2022 was challenging for investors. Macro trends from the first quarter of the year continued and the headwinds intensified. The war in Ukraine, elevated commodity prices, and persistent and […]
Dear unitholders, The Pender Strategic Growth & Income Fund (PSGIF) was down 1.8%[1] and the Pender Enhanced Income Fund (PEIF) was down 1.5%[1] for the quarter. On a year-to-date basis, PSGIF was up 16.3%[1], while PEIF […]
Dear unitholders, The Pender Strategic Growth & Income Fund (PSGIF) was up 6.2%[1] for the quarter, and the Pender Enhanced Income Fund (PEIF) was up 5.9%1. On a year-to-date (YTD) basis, PSGIF was up 18.4%1, […]
Pender’s equity funds have been performing strongly of late. We believe there are some commonalities to our strategies which relate to the “forward thinking” part of our company slogan. We don’t own Enbridge… Or TransCanada […]
“A change in perspective is worth 80 IQ points.”- Alan Kay In this commentary we cover: Protecting the gains when markets hits new highs Inevitable trade-offs – Lower volatility vs potential higher returns How fast […]
“The future ain’t what it used to be.” ― Yogi Berra In this commentary we cover: The March 2020 downturn and subsequent “V” shaped recovery The dichotomy of markets being up when the economy is […]
“There are decades when nothing happens; and there are weeks when decades happen.” – Vladimir Lenin In this commentary we cover: A different kind of unexpected and an extraordinary downturn “Fog of war” and decision […]
What now? “The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails.” – William Arthur Ward Like most, we watched the early advancement of the coronavirus outbreak in […]
When the facts change, we change our minds The nature of most human activity is that the facts involved tend to change, but often not as abruptly, and rarely on such a wide scale as […]
How the portfolio is positioned to capture potential gains We believe the world will be a very different place on the other side of the global health crisis and associated financial crisis. We know that […]
Assessing the trinity of risk is a key pillar of Pender’s investment strategy at all times, but during a financial crisis, when the risks increase, it becomes more crucial than ever to double and triple […]
The Pender Strategic Growth & Income Fund had a modest start to 2020 with F Class units of the Fund returning 1.10%. The fixed income portion of the Fund (Pender Corporate Bond Fund, Class O) […]
The Pender Strategic Growth and Income Fund returned 1.6% in December 2019 and for the full year returned 18.5%[1]. The Fund finished a top decile performer in its Morningstar category in 2019[2]. 2019 was a […]
“Markets are constantly in a state of uncertainty and flux and money is made by discounting the obvious and betting on the unexpected.” – George Soros In this commentary we cover: Looking back at the […]
“If interest rates go to zero and all the governments in the world print money like crazy and prices go down – of course I’m confused. Anybody who is intelligent who is not confused doesn’t […]
“Swim upstream. Go the other way. Ignore the conventional wisdom. If everybody is doing it one way, there’s a good chance you can find your niche by going exactly in the opposite direction” – Sam […]
“We can ignore reality but we cannot ignore the consequences of ignoring reality”- Ayn Rand In this commentary we cover: The trick is not to learn to trust your gut feelings, but rather to discipline […]
“The biggest factor affecting market returns over a short period of time are changes in investor moods. And moods don’t care about spreadsheets, reasoning, formulas, or metrics. They make fools out of those who try […]
“Investment success requires sticking with positions made uncomfortable by their variance with popular opinion.” – Howard Marks In this commentary we cover: Indices and lagging indicators vs. seeing the world as it really is The […]
Something to tell your grandkids about one day…It’s official: The S&P500 is now in the longest bull run in history. Of note, the S&P500 is also in one of the oldest bull markets globally. Virtually […]
“As to methods, there may be a million and then some, but principles are few. The man who grasps principles can successfully select his own methods. The man who tries methods, ignoring principles, is sure […]
Don’t just do something, stand there. Like many investors, we are always looking for insights into how we might improve our outcomes over time. By taking a multi-disciplinary approach and “thinking outside the box”, we […]
Recently asked questions from the field: Does the recent drop of Facebook offer us an opportunity to add megacaps to our portfolios? If Washington decides to increase regulations on technology companies, would that impact megatech […]
“Since 1871, the market has spent 40% of all years either rising or falling more than 20%. Roaring booms and crushing busts are perfectly normal.” – Morgan Housel Last year was a banner year in […]
1. The great 35-year interest rate cycle probably bottomed in 2016 2. Disruptive periods change the opportunity sets 3. Just about everything is cyclical “I ask everybody not to think in two to three-year time […]
It is important to keep in mind that one of Charles Darwin’s great insights on evolution also applies to capitalism: “It is not the strongest of the species that survives, nor the most intelligent that […]
“It’s déjà vu all over again.” – Yogi Berra We often own stakes in companies which can be characterized as boring, operating in “meat and potatoes” industries that have faced cyclical headwinds. Some major current […]
“You cannot swim for new horizons until you have courage to lose sight of the shore.” ― William Faulkner To date, 2017 has been a much better year for the S&P500 than we had imagined. […]
At Pender, we are often asked about our cash levels because it fluctuates over time depending on the individual Fund mandate and the opportunity set. One of the common misconceptions regarding some Pender mandates is […]
“The markets are moved by animal spirits, and not by reason.” – John Maynard Keynes The year started in the midst of one of the greatest bull markets in history. It has only strengthened in […]
Whole Foods (NASDAQ: WFM) is the second announced takeout of a top five Pender Value Fund holding last quarter (following the Panera deal – see our blog post). WFM is also a holding in the […]
All we want in life is no competition or an unfair advantage. At Pender we sometimes joke that all we want in life is either no competition or an unfair advantage. This is only partly […]
“The concept of a general equilibrium has no relevance to the real world (in other words, classical economics is an exercise in futility.)” – George Soros The Loonie – To Hedge or Not to Hedge […]
As we reflect on the announcement that Panera Bread, a holding in several of Pender’s funds, is about to go private thanks to a takeover by European holding company JAB, we are left feeling somewhat […]
“Headlines, in a way, are what mislead you, because bad news is a headline, and gradual improvement is not.” – Bill Gates, Microsoft Co-Founder Last year served as another vivid reminder that the future is […]
“Nothing is so painful to the human mind as a great and sudden change.” ― Mary Shelley Although we live in a world where change is constant, it seems to be getting increasingly unpredictable. In […]
Paraphrasing Charlie Munger, as investors, all we want to know is where we are going to die, so we won’t go there. Common sense dictates that investors should avoid overcrowded trades in companies with lots […]
After a wild ride in the first quarter, the big surprising macro news to hit markets during the second quarter was Brexit. Admittedly, we did not anticipate that the UK would vote to leave the […]
This is a good article about investing in compounders vs. companies with legacy moats. It nicely summarises a number of important investment concepts.
The first quarter was volatile and strange. It was a wild, roller coaster-like experience. There have been very few periods over the last three decades which have seen a larger number of three standard deviation […]
“The average long-term experience in investing is never surprising, but the short-term experience is always surprising.” – Charles Ellis Last year was a very challenging year and unfortunately, full of unpleasant surprises for most investors, […]
“There will be recessions and there will be stock market declines. If you don’t understand that’s going to happen, then you’re not ready and you won’t do well in the markets” – Peter Lynch There’s no […]
Class A units were down 3.7% during the quarter and were valued at $12.01 at September 30, 2015. Panera Bread, Strayer Education and Markel led the gainers for the quarter, while Platform Specialty Products and […]
Class A units were down 0.97% during the quarter and were valued at $12.02 at June 30, 2015. IAC/InterActiveCorp, Manulife Financial and Magna International led the equity gainers for the quarter, while TransForce, Fossil Group […]
Company Overview As a pioneer of the “fast casual” restaurant category, Panera Bread is the authority on fresh-baked bread and is well known for its delicious healthy food and its commitment to food transparency.
Class A units in the Fund generated a total return of 2.4% during the quarter and were valued at C$12.20 on March 31, 2015.
Class A units were up 5.3% during the quarter and were valued at C$12.93 at March 31, 2015. The US All Cap Equity Fund ended the quarter with 21 holdings and a cash weighting of […]
Class A units were up 1.45% during the quarter and were valued at C$12.27 at December 31, 2014. The Fund ended the year with 22 holdings and a cash weighting of 4.4%. During the quarter […]
“Skate to where the puck is going, not to where it has been” – W. Gretzky Despite the Edmonton Oilers of the 1980’s being a dynastic team, loaded with superb talent, we could not help […]
Class A units were up 1.6% during the quarter and were valued at C$12.10 at September 30, 2014. The performance was driven by a stronger US dollar. The Fund ended the quarter with 22 holdings […]
The Fund became available to investors on July 5, 2013 and ended Q2 2014 with 21 holdings and a cash weighting of 8%. Class A units that were initially purchased at C$10.00 were valued at […]
Don’t just do something, stand there. Like many investors, we are always looking for insights into how we might improve our outcomes over time. By taking a multi-disciplinary approach and “thinking outside the box”, we […]
What is the Soundest Investment Approach? Felix Narhi writes about growth vs. value for The Globe & Mail Putting the Growth vs. Value Investing Debate in Perspective I often get asked the question, “Are you […]
The Fund became available to investors on July 5, 2013 and ended Q1 2014 with 19 holdings and a cash weighting of 4.7%. Class A units that were initially purchased at C$10.00 were valued at […]
When is a 10% Return Better Than An 11% Return? To Discover The Answer to this Riddle, Read On… Sometimes it is easy for investors to forget what they have set out to accomplish. In […]
The Fund became available to investors on July 5, 2013 and ended the year with 18 holdings and a cash weighting of 4.5%1. Class A units that were initially purchased at C$10.00 were valued at […]
The Fund was opened to investors on July 5, 2013 and ended the quarter with 14 holdings and a cash weighting of 4.8%. Class A units that were initially purchased at C$10.00 were valued at […]
Our investment strategy is guided by four core concepts of intelligent investing.
It has been said that investing is simple, but not easy. Simple because, in theory, the idea that one should “buy low and sell high” is just common sense. But not easy because in practice […]
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