LT Leaders
Looking at portfolio construction, what is neutralized in this fund?
Regions
During a merger arbitrage scenario, which company does Dan short, and which one does he long?
Dan goes long the company being acquired, and will short the acquiring company as a hedge
What is the targeted beta range at all times?
-0.1 to 0.1
What is Dave’s PM style?
Dave is style agnostic, will hold core, value, growth
What does MDR stand for?
Managing Directors of Research
What is a unique focus of this mandate vs the other 2 Fidelity liquid alts?
Merger arbitrage
What is the benchmark?
50/50 TSX Capped Composite and S&P500
What is the long to short blend?
130% long/30% short
How many holdings will it typically have?
150-250
Looking at the short portion of the portfolio, how much will be in merger arbitrage?
2/3
How many pair trades will Brett typically have?
Roughly 50 pair trades, 100 stocks
What is the beta range?
0.0 - 1.0
How mucch have sectors deviated from the benchmark historically?
0 to 1000bps
Name all of Dan Dupont’s regular equity MFs
Northstar, Concentraded Value Private Pool and Canadian Large Cap Fund
During the COVID drawdown, roughly what was the return of the pilot fund?
+15.8%
What is this portfolio meant to help advisors’ investors do?
Help clients stick to the plan/stay invested
What month and year did the pilot fund start?
July, 2015
Roughly how many holdings will Dan have AND how many will be long?
40-50 holdings with 30-40 long
Roughly how much of the risk comes from stock picking? (Percentage wise)
80%-90%
Mention 1 of the 3 classic financial shorts Dave looks at
1. A company that’s going to miss earnings.
2. A company with bad accounting and they’re going to get found out.
3. Secular losers: people who will face long-term business declines because of industry change
Up to what percentage of your taste buds do you lose during a flight?
A German study determined that the high elevation and low pressure reduces the sensitivity in your taste buds by up to 30%