Course 109: Important Fund Documents, Part 2
Letter from the Portfolio Manager
In this course
1 Introduction
2 Letter from the President
3 Letter from the Portfolio Manager
4 Recent Fund Performance
5 Portfolio Holdings
6 Footnotes
7 Financial Statements
8 What To Do Next

This is a fund-specific examination of the recent performance and therefore much more important to you as a fund shareholder. Well-written shareholder letters discuss individual stocks that the fund owns and the industries in which the fund invested. A good manager letter will also explain what broad market trends might have fueled or hindered your fund's performance. Finally, most managers will give you an indication of what you can expect from the fund in the future, given an unchanged strategy.

Investors should demand a lot from shareholder letters, particularly in times of declining performance. If shareholder reports leave your questions unanswered, let your mutual fund company know. (Note: Many fund companies have begun sending out portfolio-manager letters that are separate from their shareholder reports, rather than bundling them together.)

Next: Recent Fund Performance >>


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