Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Is Central Fund of Canada Limited (USA) (CEF) A Good Stock To Buy?

With the third-quarter round of 13F filings behind us it is time to take a look at the stocks in which some of the best money managers in the world preferred to invest or sell heading into the fourth quarter. One of these stocks was Central Fund of Canada Limited (USA) (NYSEAMEX:CEF).

Is Central Fund of Canada Limited an attractive investment now? Money managers are in an optimistic mood. The number of long hedge fund positions inched up by 1 recently. The level and the change in hedge fund popularity aren’t the only variables you need to analyze to decipher hedge funds’ perspectives. A stock may witness a boost in popularity but it may still be less popular than similarly priced stocks. That’s why at the end of this article we will examine companies such as Verint Systems Inc. (NASDAQ:VRNT), PBF Energy Inc (NYSE:PBF), and AllianceBernstein Holding LP (NYSE:AB) to gather more data points.

Follow Central Fund Canada Ltd (NYSEMKT:CEF)
Trade (NYSEMKT:CEF) Now!

In the 21st century investor’s toolkit there are a large number of metrics stock traders put to use to value stocks. A pair of the most innovative metrics are hedge fund and insider trading indicators. we have shown that, historically, those who follow the best picks of the top hedge fund managers can outperform the broader indices by a solid amount (see the details here).

With all of this in mind, we’re going to analyze the new action regarding Central Fund of Canada Limited (USA) (NYSEAMEX:CEF).

What does the smart money think about Central Fund of Canada Limited (USA) (NYSEAMEX:CEF)?

At the end of the third quarter, a total of 4 of the hedge funds tracked by Insider Monkey held long positions in this stock, a change of 33% from one quarter earlier. With hedge funds’ sentiment swirling, there exists a few key hedge fund managers who were upping their holdings considerably (or already accumulated large positions).

When looking at the institutional investors followed by Insider Monkey, Mariner Investment Group, managed by William Michaelcheck, holds the largest position in Central Fund of Canada Limited (USA) (NYSEAMEX:CEF). Mariner Investment Group has a $7.6 million position in the stock, comprising 1.5% of its 13F portfolio. On Mariner Investment Group’s heels is Millennium Management, led by Israel Englander, holding a $3.2 million position; the fund has less than 0.1%% of its 13F portfolio invested in the stock. Some other members of the smart money that are bullish comprise Eric Sprott’s Sprott Asset Management, and Gavin Saitowitz and Cisco J. del Valle’s Springbok Capital.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
This is a FREE report from Insider Monkey. Credit Card is NOT required.