A new deep-value fund
Franklin Templeton recently expanded its deep-value Mutual line in Canada. Until now, only the Mutual Beacon Fund, which specializes in US stocks, has been available to investors here. Despite a loss of 19.8% in the past year (to Feb 28), it has outperformed the average of its category by a considerable margin (the average U.S. equity fund is down 27.3% over the year) and was a first-quartile performer during the 2000-02 bear market run.
Now it’s getting a stablemate, the Mutual Discovery Fund. This one can roam the world in search of deep value opportunities, and that includes distress situations where companies face bankruptcy and/or massive restructuring. The fund is managed by David Winters, who also co-manages Mutual Beacon, and Tim Rankin. All the funds in the Mutual line employ strategies developed by Michael Price, one of America’s great all-time value managers.