Update on Caldwell Canadian Value Momentum Fund October 2016
*Compounded Annual Return since August 15, 2011
October Recap: The Fund was essentially unchanged in October (-0.1%) versus a gain of 0.6% for the S&P/TSX Composite Total Return Index (“Index”). October was a relatively news-light month which will make for a shorter than usual note.
Top CCVMF performers in October were Calian Group (+8%) and IBI Group (+5.3%). There was no particular news driving the moves, which were quite muted compared to our top performers in most months. Sleep Country (-8.4%) was the worst performer on a read-through from a weak report from Tempur Sealy. However, the read-through has given false signals in the past and we note that Sleep Country has a number of different drivers behind their growth.
No stocks were added to the portfolio in October. We continue to work our way though our due diligence process on a number of names. Current holdings continue to have attractive catalysts and we expect we can continue to refresh the portfolio with new opportunities.
The Fund ended October with a cash balance of 2.5%. We look forward to tracking the progress of the portfolio’s holdings as we see a meaningful and diverse set of catalysts to drive continued growth.
Wishing you and all of our investors continued success,
The CCVMF Team