What are we looking for?
Leaders and laggards among natural resource equity funds in 2010.
We screened natural resource equity funds for the best and worst eight performers this year until Aug. 27. U.S. dollar, segregated, pooled and duplicate versions of the funds were excluded.
What did we find?
Lots of black and red ink. Sentry Canadian Resource Class has outpaced all other funds this year, gaining nearly 26 per cent. The fund is co-managed at Sentry Investments by Kevin MacLean who specializes in precious metals and mining, and Laura Lau, who focuses on energy equities.
The fund has been running at about 60 per cent in mining, mainly gold stocks, and the balance in energy securities. "We think the gold fundamentals are excellent, and will stay that way for a few years at least" in the absence of new gold supply, Mr. MacLean said. The fund's gold mining stars include Semafo Inc., Golden Star Resources Ltd. and Osisko Mining Corp., while Bankers Petroleum Ltd. and Canacol Energy Ltd. are among the energy winners, he said. The managers pared back their energy stocks this summer as a defensive move, but have begun to redeploy their recent 11-per-cent cash position back into the market. Against a backdrop of falling oil and weak gas prices, the pair are "neutral" on the energy sector. Middlefield Uranium Focused Metals has been the worst performer, losing 14.5 per cent. The fund, which is mainly in uranium-related stocks, has been hurt by falling prices in the metal. FrontierAlt Resource Capital Class, which lost 13.2 per cent, has had a manager change. On Aug. 1, Lightwater Capital Partners Ltd. took over from Caldwell Investment Management Ltd.
|Leaders and laggards among natural resource equity funds to Aug. 27, 2010|
|Calendar Year Returns|
|Fund||Assets ($ mil.) as of July, 2010||Latest MER||YTD % (Aug. 27)||2009 (%)||2008 (%)||2007 (%)||2006 (%)||2005 (%)||2004 (%)|
|Sentry Cdn. Resource Class||200.5||2.81||25.9||62.8||-51.6||-2.2||8.7||45.5||22.9|
|NexGen Global Resource-CG||0.3||2.62||16.9||56.4||N/A||N/A||N/A||N/A||N/A|
|Bissett Energy CC-A||20.7||2.47||15.4||57.4||-44.5||N/A||N/A||N/A||N/A|
|iShares CDN Materials Sector Index||244.2||0.55||14.7||33.5||-26.8||29.5||48.4||N/A||N/A|
|DMP Resource Class||316.3||2.68||11.2||84.8||-57.2||-5.1||44.3||40.4||7.5|
|Front Street Resource Performance||58.1||N/A||9.9||74.2||-47.8||N/A||N/A||N/A||N/A|
|Sentry Energy Growth & Income-X||65.3||2.74||8.0||31.0||-27.0||-7.0||-15.8||23.4||34.7|
|Middlefield Uranium Focused Metals||N/A||2.71||-14.5||42.5||-50.9||N/A||N/A||N/A||N/A|
|FrontierAlt Resource Capital Cl-A||5.7||N/A||-13.2||70.8||-72.7||N/A||N/A||N/A||N/A|
|Mackenzie Univ Wld Resource Class||134.9||2.50||-11.2||65.8||-62.1||32.3||23.6||27.3||22.8|
|Claymore Oil Sands Sector ETF||33.4||0.63||-8.5||59.0||-54.2||22.7||N/A||N/A||N/A|
|CI Signature Global Energy Corp Cl||159.0||2.37||-8.4||35.8||-30.1||12.4||6.1||61.6||39.1|
|BMO S&P/TSX EW Gbl Base Metals ETF||34.0||N/A||-7.9||N/A||N/A||N/A||N/A||N/A||N/A|
|Investors Cdn. Natural Resource-C||759.8||2.86||-7.5||137.8||-49.7||3.7||3.7||52.3||11.9|
|RBC Global Energy||384.8||2.05||-7.3||40.9||-49.0||13.6||-2.3||59.8||33.9|
|S&P/TSX Total Return||2.9||35.1||-33.0||9.8||17.3||24.1||14.5|
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