I'm hoping some of the experienced purchasers of this fund can explain to me why it takes so long to complete a buy.
I placed an order with my Schwab account over 24 hours ago and as of 7:35 this evening still no buy.
I don't recall it taking this long last time a (few weeks ago).
Thanks in advance
Welcome to Mutual Funds 101
"A fund must meet a redemption request as soon as it gets it. In a flood of redemption requests, it must sell stocks or bonds from its portfolio right away, regardless of their performance or potential. A fund often sells whatever it can fast, and that could be the best performing stocks because there is sufficient market demand for them. Selling portfolio winners further depresses the fund's results."
Keep on asking questions as you are and you'll learn some things! I'm doing my best to help you become a wiser and better investor! Enjoy!
You have no documented evidence making claim to your hypothesis, so dont even go bashing my documentation...
Capital appreciation which encompasses new money also will affect NAV !!!!
You have no documentation to justify otherwise... NNNNOOOO documentation making claim otherwise...
you gots no evidence my man !!!
any references you ve forwarded made no claim to you case and point...
nada, nothing, zilcho !!!
just bait on a hook for a bigger fish to devour!!!
By the way, it is a no brainer that heavy redemptions of an open end fund have a detrimental effect on the fund. When investors flee a fund it causes the manager to have to sell assets to redeem the shares and it may not be the right time to sell those assets. It doesn't cause the NAV to change of course. But it will effect the underlying portfolio and can contribute to a further decline in the NAV.
This is pretty basic Mutual Funds 101.
You are a hoot! The "model" (which is an abstraction, by the way) simply confirms that, "Investors rationally allocate new savings to funds that have good track records because they believe past returns reveal some information about a fund manager’s ability."
Well duh! I can't imagine why a mutual fund investor would want to invest new money into funds with good track records.....
But in any case new money does not cause the NAV to rise. Neither paper you cite makes that claim.
Sorry. You lose again.
Work these numbers over since your a numbers kinda guy and read it and weep-
the opposite in this case would be NEW MONEY and its effects on fund performance = NAV
How many more lessons should we ponder on your not accepting the facts-
How capital appreciation which includes new money DOES in fact affect the NAV.
I wish you could make this new money hypothesis not more difficult to prove wrong...
The technicals dont override validity of the facts regardless of a few mispelled words and grammatical errors, and one to many Rockstars but Im still here to easily defend a blatantly common sense case.
Even so its a what came first chicken and egg waste of rockstar buzz..