This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Ken Heebner: Best Fund Manager Alive?

Other major holdings of CGMFX include America Movile ADR (AMX - Get Report), Petroleo Brasileiro S/A ADR (Petrobras) (PBR - Get Report) and Potash Corp. of Saskatchewan (POT - Get Report).

Interestingly, U.S. Steel, Petrobras, Freeport McMoRan and Potash of Saskatchewan are also among the top holdings of another fund that can legitimately reside in the same universe as CGMFX. The Quaker Strategic Growth Fund (QUAGX) placed first among diversified equity funds over the past 10 years in risk-adjusted performance, as measured by its Sharpe Ratio. CGMFX ended in 12th by the Sharpe measure for that period.

Among QUAGX's other major holdings are resource plays Schlumberger (SLB - Get Report) and BHP Billiton ADR (BHP).

Investors attracted to CGMFX, or any of the CGM funds, are -- as with all funds -- cautioned not to ignore the warnings on its filings that "past performance is not necessarily indicative of future results." Also, Heebner's remarkable performance at CGMFX started in the year 2000, meaning his tenure as a superstar manager is not yet nine years old.

While successful fund managers are susceptible to slumps at any time, some hot streaks have lasted well past the decade mark. Bill Miller's remarkable record at the Legg Mason Value Trust (LMVTX) of annually besting the S&P 500's performance lasted for 14 seasons.

Over a similar number of years, Peter Lynch grew the Fidelity Magellan Fund (FMAGX) from $18 million in assets in 1977 to $14 billion when he left the helm in 1990. Sir John Templeton, who died earlier this month, achieved lucrative gains in global investments for decades beginning in the mid 1950s.

So while there is always the chance that Heebner's fame might prove ephemeral, the possibility remains that his portfolio management skill might also steer the CGM funds to even further greatness.

CGM FOCUS FUND: A REMARKABLE RECORD
PERIOD CGM FOCUS FUND TOTAL RET'N (%) * CGM FOCUS'S RANKING & NO. OF FUNDS RANKED "BEST OF THE REST" - NAME, TICKER & TheStreet.com RATINGS GRADE OF HIGHEST RANKING FUND OTHER THAN CGM FOCUS FUND "BEST OF THE REST'S" RANKING "BEST OF THE REST'S" TOTAL RET'N (%) *
Last 3 Mos. 27.01 1 / 3344 Eaton Vance Tax Mgd SmCap Gr A (ETMGX) A+ 2 19.28
Yr. to Date 17.09 2 / 3271 Leuthold Grizzly Short Fund (GRZZX) B 1 29.82
Last 12 Mos. 70.87 1 / 3158 Leuthold Grizzly Short Fund (GRZZX) B 2 46.30
Last 3 Years 38.74 1 / 2603 Ivy Fund-Asset Strategy A (WASAX) A+ 2 20.13
Last 5 Years 35.41 1 / 2163 Pacific Advisors Small Cap A (PASMX) B+ 2 24.96
Last 10 Years 26.34 1 / 1380 Turner Emerging Growth Fund (TMCGX) B 2 24.18
Cal. 2007 79.92 1 / 3079 American Century Leg Foc Lg Cp Inv (ACFOX) U 2 46.81
Cal. 2006 14.95 959 / 2779 Pacific Advisors Small Cap A (PASMX) B+ 1 35.05
Cal. 2005 25.32 2 / 2500 Hennessy Focus 30 Fund (HFTFX) C+ 1 32.74
Cal. 2004 12.33 1028 / 2291 Bruce Fund (BRUFX) C 1 56.26
Cal. 2003 66.46 33 / 2110 Apex Mid-Cap Growth Fund (BMCGX) D+ 1 165.28
Cal. 2002 -17.79 856 / 1969 Prudent Bear Fd (BEARX) A+ 1 62.87
Cal. 2001 47.65 2 / 1803 Wasatch Micro Cap Fund (WMICX) E- 1 49.99
Cal. 2000 53.93 2 / 1616 Robeco Boston Ptrs Lg/Sh Equit Inv (BPLEX) C- 1 59.87
Cal. 1999 8.45 1080 / 1474 Van Wagoner Emerging Growth Fund (VWEGX) E- 1 291.15
Cal. 1998 3.52 1038 / 1311 Berkshire Focus Fund (BFOCX) C 1 103.96
"RISK-ADJUSTED" INVESTMENT RETURNS (SHARPE RATIOS)
Last 12 Mos. 2.54 1 / 3158 Caldwell & Orkin Mkt Opportunity (COAGX) A+ 2 2.19
Last 3 Years 1.51 3 / 2603 Ivy Fund-Asset Strategy A (WASAX) A+ 1 1.79
Last 5 Years 1.48 1 / 2163 Ivy Fund-Asset Strategy A (WASAX) A+ 2 1.48
Last 10 Years 0.74 12 / 1380 Quaker Strategic Growth A (QUAGX) A 1 0.95
* Annualized returns for periods more than a year.
Source: TheStreet.com Ratings - Data as of 6/30/2007.
For an explanation of our ratings, click here.

Richard Widows is a senior financial analyst for TheStreet.com Ratings. Prior to joining TheStreet.com, Widows was senior product manager for quantitative analytics at Thomson Financial. After receiving an M.B.A. from Santa Clara University in California, his career included development of investment information systems at data firms, including the Lipper division of Reuters. His international experience includes assignments in the U.K. and East Asia.
3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AMX $20.62 0.78%
FCX $19.13 0.95%
MT $9.33 -0.96%
POT $32.35 0.31%
PBR $6.34 5.60%

Markets

DOW 17,594.06 -182.06 -1.02%
S&P 500 2,061.72 -6.17 -0.30%
NASDAQ 4,888.5430 -12.3420 -0.25%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs