Mark Goodfield, 51
Taxation specialist at mid-sized accounting firm, Toronto
Includes Coastal Energy Co., Wi-LAN Inc., Sterling Resources Ltd., Rainy River Resources Ltd., Hathor Exploration Ltd., Microsoft Corp. and Nymox Pharmaceutical Corp.
How he invests
Mark Goodfield describes himself as "a stock picker." His favourite prospecting grounds are small- and mid-cap stocks. Other portfolio holdings are blue-chip stocks and fixed-income securities.
When he searches for companies, he looks for "good management that has been successful previously and has an ownership stake." Preferably, financing will be in place, although this is not always the case with small caps.
He also checks Canada's insider disclosure website sedi.ca and other sources "to ensure insiders are buying shares or at least not selling."
For resource companies, he doesn't want to get too speculative. "Typically, I want them in safe countries, and with some production or proof of found resources," he says.
How he digs up info
He regularly reads financial statements and management reports on sedar.com. Other sources include investment reports, "a wide-ranging network of people who have knowledge in certain industries," calls to companies, and selected commentators in stock-chat forums.
It was buying Resverlogix Corp., a Calgary-based biotech. Mr. Goodfield rode its stock up from $5 to $30 in about 10 weeks "as Pfizer's high-profile cholesterol drug Torcetrapib failed and Resverlogix's RVX-208 drug was seen as a successor."
It was riding Resverlogix back down from $30 to $2. Mr. Goodfield describes, at length, this "roller-coaster ride from hell" in a Nov. 29 post to his blog, The Blunt Bean Counter.
"I always recommend to my clients to find a good investment manager and have a balanced investment portfolio," says Mr. Goodfield, a managing partner with Cunningham LLP. "If you are going to be a stock picker, you must commit to spending several hours a week poring over financial reports, insider transactions, calling the companies and reading various publications."
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