UNWPX holds smaller companies — median market cap of $1.2B vs. $5.8B for VGPMX — and uses warrants/options (27% of its holdings) to amplify its holdings. Smaller companies have, historically, higher returns than large companies.
I’ve never used a broker and have never bought individual stocks (except the stock of the companies that I worked for). So, no, I haven’t looked to Zeal for recommendations.
I’ve been on the buy side in a big company (i.e., worked in the business development function), and have come to the conclusion that there are many, many factors required for a company to be a success. As a working stiff, I don’t have the time to fully understand all of those elements (management, product, market, competition, etc.) for a reasoned, prudent investment in an individual company. Hence, I don’t buy individual stocks. And, having spent a good bit of time with sell-side Wall Street analysts and investment bankers, I’d never rely on their thoughts for where to park my money.
Nope, I’m happy with mutual funds, and am happy with VGPMX and UNWPX, until one of you folks can point me to something better!
