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New money

Posted: Tue Feb 19, 2013 7:54 am
by BearBones
Any idea what PRPFX and PERM do with incoming and outgoing money? In the case of incoming, do they add to cash or buy lagging asset? I would think that this could affect these fund's frequency of rebalancing, inducing significant tracking error relative to a "stationary" 4x25 portfolio.

Re: New money

Posted: Tue Feb 19, 2013 9:45 am
by MediumTex
I'm sure they buy lagging assets with new money.