Ann: Investment Report & NTA Update - June 2018, page-40

Mick, I put the swings and roundabouts in LICs (and other shares like RHC, AMC and others) down to the usual fluctuations in equities. I have done OK in my last 3 buys of LICs. LSF, CVF and GC1. I sense your frustration though and share it thru holding ALF and NSC. I do think however that the share price to NTA gap will close if the market reverses. Traditionally when the market is advancing, everyone thinks they are an investment genius and LICs tend to be left on the shelf because everyone thinks they can do better by investing in single stocks themselves. When the market corrects, everyone goes for the security of an investment manager and managed funds or LICs. There is also the factor of shares being fairly volatile at the moment eg. ECX, RHC, AMC and swings upwards of the like of APT, so that when we get a fairly steady reliable (read boring) return, we tend to be “underwhelmed” by the seeming lack of performance because it only seems average.
I also hold WIC and at one time I was down about $6k, now I’m up somethink like 12k. I am tending to take a preference to the smaller LICs like GC1 and WIC, where (for me) they appear to be more nimble and have a little better visibility than the likes of ALF (woof !) that have $330 mil of funds, but cant make a quid !
Mick, I havent heard of mFunds....what are they and what are their advantages please ? Are they like an ETF for LICs ?