Swimming with sharks

Still getting ripped off. You go through life and you think you’ve learned all their sneaky tricks, and there’s no way they’re going to get you this time! And they do. T Rowe Price PRHSX Health Science Fund is an interesting example. On Friday the 13th the share price was $84 and change. By Monday it had dropped 5% to $80. What happened? Was the market experiencing a decline? No its been going up .23% everyday for the past week. Well that’s weird, the rising tide is lifting all boats but yours?

Monday just happened to be the day the fund was paying long term and short term capital gains for the year. A huge event for your mutual fund. I wanted to get rid of the fund, but not until I got that year end payout. So $84 dollars a share, the 52 week high, everything’s looking good to get the payout and sell, then it tanks. 5%. I assume at the higher share price the fund would have had to payout more in gains. At the lower price they save 5%. They’re going to screw you, the only question is how.

T Rowe Price and American Century are part of that rare breed of fund families that can lose money during a period of all-time record breaking highs.

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