Donville Kent Asset Management

[Monsieur_dee]

Wow first post

Hey guys I've been sitting on around 50-60% cash for a while now. I can't seem to find any ideas that hit me across the head like a 2 by 4.

Ive been looking into funds to manage a small chunk of my money. If I can't find any ideas maybe they can. 

Donville Kent asset management comes to mind as since I am Canadian. They are able to invest right through my TFSA or RRSP. Which is a plus compared to some American funds. They have averaged 18% since inception. 

I'm getting a little confused about the fee structure & was wondering if anyone had any thoughts on this. 2% management fee (paid monthly) & a 20% high water mark fee. (20% of anything over 20%)

Trying to compare it to the BPL where he didn't charge a management fee. Seems like all the 'fair' funds follow that structure. 

The high water mark confuses me & thought I'd ask if this was 'fair' 

Thanks. 

[maplevalue]

No thoughts on that particular fund, but worth looking at some of the Mawer funds. Risk-adjusted returns fairly strong (Global Small Cap fund risk/return analysis from Morningstar below). Can invest as a Canadian, and can invest direct with them for lower MERs (fund I mentioned is 1.76% MER). Does not resemble the index very much.

 

 

 

[stahleyp]

If you've been in cash for a long time, why are you wanting to buy now instead of then?

[KCLarkin]

You could also look at Turtle Creek. But DKAM and TC (and even Mawer) are expensive. Mark Leonard has a better record and works for free.

If you are just parking cash, why not look at my list of Canada’s great companies? Several great capital allocators on that list.

[CapriciousCapital]

How much if DKAM’s total returns came from Constellation Software? That was a great investment but may not be repeatable.

[Monsieur_dee]

I sold two very large positions that & didn't have the conviction to buy anything else. Maybe should have waited for an opportunity to present itself before selling. 

Very true about dkam csu investment. & yes I think giving my money to Mark would at least give me 10-15% irr & 'safer' than S&P index. 

1 hour ago, KCLarkin said:

You could also look at Turtle Creek. But DKAM and TC (and even Mawer) are expensive. Mark Leonard has a better record and works for free.

If you are just parking cash, why not look at my list of Canada’s great companies? Several great capital allocators on that list.

I tried looking at your page. Is this a thread that you started? 

Thank you everyone. 

[stahleyp]

When I don't have conviction on something, I just throw it into an index fund. Worked well so far. 

[KCLarkin]

You could look into giverny too.

[Monsieur_dee]

Thank you brother. I appreciate it. I don't like to limit myself to Canada or US but I think sometimes I forget the grass is green on this side as well.