The Appeal of a 'Free-Range' Fund Manager

摘要

Steven Romick loves his freedom-and so do his investors. Romick has described his $3.5 billion fund, FPA Crescent, as "a free-range chicken." The fund can buy stocks or bet against them, stay in the U.S. or go abroad, purchase high-quality debt or junk, or even load up on cash. The flexibility has paid off. The fund's return for the past decade is an annual-ized 11 percent, better than 99 percent of its rivals, according to Morningstar.rnRomick, 47, is both cautious and opportunistic. His first priority is to limit losses: "If you buy an asset and feel comfortable with it even if the worst thing happens, then you are in a good position." He will dive into areas that seem undervalued. In an April 2009 shareholder letter, he said: "We bide our time and wait for slow fat pitches inrnour strike zone."