Skip navigation

Mutual Fund News

Saxon scores as a top Canadian fund performer

swon@globeandmail.com

What are we looking for?

The 15 top performers among pure Canadian stock mutual funds over the past decade.

The search

We screened funds in the Canadian equity category, which must invest 90 per cent of the stock holdings in larger-cap Canadian companies. (They differ from the Canadian focused-equity category, which can invest up to 50 per cent in foreign stocks.) U.S.-dollar, segregated, pooled and duplicate versions of the fund were excluded.

What did we find?

Many of the leading funds are run by Canadian firms focused on pension and high-net-worth investors.

It's not too surprising to see them do well, given that the Canadian stock market is their bread and butter, as opposed to foreign equities. Mutual funds have traditionally been a sideline business, but that is changing as some of these firms are acquired by fund giants.

Their strong track record has been helped by lower fees because these funds are mostly sold directly to investors or through discount brokers. And they typically require a higher minimum, ranging in many cases from $5,000 to $10,000. But, as these firms are acquired or partner with fund companies, the same investments are being sold through advisers with higher fees.

Mackenzie Saxon Stock fund (front-end-load version) emerged at the top over 10 years with an annualized return of 8.6 per cent. It is part of the Saxon-branded funds acquired in 2008 by Mackenzie Financial Corp. Rick Howson was lead manager of the value-oriented fund for most of the fund's history, but since last fall it has been run by a team led by Suzann Pennington. The Saxon Stock fund version sold by advisers, however, has a higher management expense ratio of 2.38 per cent so that will cut into future returns.

Beutel Goodman Canadian Equity and Mawer Canadian Equity, respectively, posted annualized returns of 7.9 per cent and 7.7 per cent. Lower MERs helped the performance of these funds.

***

Top 15 Canadian equity funds over a decade
As of June, 2010 Latest June 30 Calendar year returns (%)
Name Assets ($mil) MER 10-yr 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000
Mackenzie Saxon Stck Fnd-SI$273.12.028.635.3-32.85.112.016.212.123.60.322.217.8
Beutel Goodman Cdn. Equity1225.81.447.924.1-22.95.315.116.213.026.8-7.09.421.3
Mawer Canadian Equity116.81.267.729.5-29.711.513.920.615.719.3-0.9-0.127.0
Leith Wheeler Cdn. Eqty B167.31.507.627.5-32.99.117.519.319.527.3-1.24.217.1
IA Clarington Cdn. Cons.279.22.477.024.4-20.51.55.920.910.819.54.1-2.031.9
FÉRIQUE Equity459.30.785.736.6-32.010.917.619.713.026.3-13.9-0.916.0
Desjardins Environment165.62.355.538.4-32.415.117.030.611.822.2-12.0-8.06.3
Fidelity Cdn. Large Cap-B158.92.235.537.2-29.714.09.429.012.522.8-14.8-7.221.7
Bissett Canadian Equity-F223.31.315.540.3-32.61.512.420.714.816.9-8.03.819.7
Fidelity Cdn. Discpld Equity-B1078.92.215.339.1-35.613.215.425.411.126.5-8.8-7.215.7
Fidelity True North-B1700.72.204.830.6-34.412.817.623.614.520.7-13.3-2.516.4
BMO GDN Cdn Lg Cp Equ. Mt.160.72.384.724.4-30.111.221.320.612.426.4-13.0-2.914.1
McLean Bddn Cdn. Eq. Vl. D19.11.254.523.1-25.30.714.115.79.516.3-4.95.222.0
Altafund Investment Corp.51.72.334.439.1-34.611.815.132.119.128.1-11.8-12.613.0
PH&N Canadian Equity-D810.11.114.334.9-35.55.315.619.017.525.5-12.7-3.520.8
S&P/TSX Total Return3.335.1-33.09.817.324.114.526.7-12.4-12.67.4
S&P 500 Composite ($ Cdn)-6.55.5-23.8-12.213.6-0.21.53.4-24.0-7.7-6.6
Source: Globe Investor

© 2007 The Globe and Mail. All rights reserved.

Search Fund News


Advanced Search

GlobeinvestorGOLD.com

Only GlobeinvestorGOLD combines the strength of powerful investing tools with the insight of The Globe and Mail.

Discover a wealth of investment information and and exclusive features.

Free E-Mail Newsletters

  • Morning news headlines
  • Morning business headlines
  • Financial highlights
  • Tech alert
  • Leisure

Sign-up for our free newsletters



Back to top