What is happening, page-22

There are several,points to make about the growth fund, and in summary the SD subscribers I talk to have a poor view of the growth fund. On the other hand, when you see the comments below, you may decide the income fund is a better animal.

1. Lincoln have a great record in picking the best Australian companies to be star growth stocks,
2. But that is NOT to say that all the star stocks at any one point in time are the best Aust companies.
3. On the contrary, Lincoln might demote a great company once it fails their metrics, yet the company remains great. For example many great companies have been "in" and "out" several times. Think CSL and COH for starters. Smart investors do not sell just because Lincoln demotes a great company.
4. Lincoln says it tries to get it right 7 times out of 10. Every year it picks several companies that do not last the distance. Think BNB. So star stock status need to be treated with great caution.
5. I think I am right in saying the growth fund is made up of an equal weighting of all (or most) of the the current star stocks. With what I have said above in mind, why would you invest in the growth fund.

I hold TNE which Lincoln demoted in September. The latest results encourage me to retain for now.