Here is a scenario. Say, a fundie manages a small portfolio and wins a much bigger mandate, but a slightly different mandate. Some of the holdings will be common across the two, funds, their favourites. Gordax, that fresh buying power from new mandate can create a material uplift to the original portfolio. Thereby, Creating your own performance? At least for a few months? If you automatically buy 30% plus of a stock’s daily turnover, you sure can influence the price. Now if you wrap some smart dealing algorithms around it, more impact? Not suggesting for one second that this is the scenario here.
Yoda noticed this has happened with successful fundies before. Fundies who were small and then attract large fum inflows. Just keep on buying your key stocks until the cows come home. Success begets success. Until the fundamentals assert themselves? But very nice when the party lasted.
CTN Price at posting:
90.5¢ Sentiment: None Disclosure: Not Held
(20min delay)
