How to spot a fake daves stock
What you need to know about stocks that are being promoted as safe and profitable for you, the investor.
By James DavisMarketWatch: The best and worst stock quotes for the average investorThe daves hedge fund, the most successful of its kind in the country, is now selling a new stock that is also being touted as a safe investment.
Daves, which specializes in investing in high-yield debt, will sell stock in its newly-formed fund, Daves Capital, on March 8.
The move is the latest in a string of stock-related moves by the hedge fund over the past year.
Dives Capital, which is led by former hedge fund manager and hedge fund partner Robert Daves, is the largest fund in the nation.
Dives is one of only two funds that has not been acquired by a private equity group or public company.
“Daves Capital is a great opportunity for investors who are looking for safe investment opportunities, but also have a need for an affordable alternative to traditional equity investing,” Daves said in a statement to CNBC.
“This investment strategy will allow us to diversify our portfolio and ensure the long-term success of our investors.”
Daves has made investments in high yield debt, high-risk assets and other low-risk investments in recent years.
Doves Capital is now the largest portfolio in the U.S. and has nearly $5 billion in assets under management, according to a statement from Doves.
The new fund, which has an average age of 13 years, will be offered through the hedge funds online platform, hedge fund explorer.com.
The fund’s stock price, which tracks the S&P 500 index, is expected to be around $17 a share.
Dave’s portfolio is not included in the S &T index, which measures the value of the S-shaped index fund of more than 50 hedge funds.
Daves is one the biggest of its type in the United States, according a study published last year by UBS.
The fund’s founder, Robert Doves, has also helped to found several other large hedge funds, including Fidelity, Fortress Investment Group, and T. Rowe Price.
Dukes Capital is the first of its size to be launched.
Diversification is a key aspect of Daves strategy, said Charles Schwab chief executive Mark O’Neil.
Diversification, he said, “is a key component to the strategy, and that’s why we have such great results.”
Diversified portfolios are used by large U.K. financial institutions to mitigate the impact of higher interest rates on their balance sheets.
The U.KS. government and others, including pension funds, have been diversifying their portfolios, which typically include some investments that pay a lower yield.
In December, Doves announced it would invest in $5.8 billion in a private-equity fund to help hedge funds and other smaller investors diversify their portfolios.
Dazes also recently acquired a $2 billion investment in a hedge fund owned by the UBS group.
Investors looking for a diversified portfolio may want to consider a fund like Fidelity Investments Private Equity Trust, which invests in private equity companies.
Fidelity has diversified its portfolio over the years, including by buying smaller companies, said John McAfee, chief executive of the investment advisory firm McAfee Capital Advisors.
The firm has $1.9 trillion under management and owns more than 90 companies, according its website.
McAfee said he has a strong interest in the success of the new fund.
Dans investment strategy could allow investors to choose the type of investment they want.
Doves’ recent fund sales also have raised questions about whether the hedge-funders money could be used to invest in high interest rates.
Dains portfolio was one of the top-rated investments for U. S. high-rate mortgages last year.
The current market, with the economy recovering, has not seen a significant uptick in rates.
The yield on a 2-year fixed rate is currently just under 3 percent, compared to about 5 percent in the early 2000s, according the U-S.
The yield on the benchmark 1-year Treasury bond is currently less than 2.8 percent, according The Washington Post.
Dows Capital has had strong results in the past, including the best performance in the market in 2016 and the best-performing performance in history.
Dows Capital had a market cap of $831 million last year, according CNBC.