The Checkup

In November 2010, Michael J. Cuggino, portfolio manager of Permanent Portfolio (PRPFX), highlighted three companies in the fund’s portfolio that he considered solid, long-term investments. 

Asset manager State Street Corp (NYSE: STT) has lost 2.5 percent since recommendation. Although the firm’s fee revenue increased 17.5 percent during the third quarter from the year-ago period, the low interest rate environment caused net interest revenue to decline 20.2 percent. As such, the firm’s profits only increased 1.6 percent over that same period.

FedEx Corp (NYSE: FDX) has lost 3.6 percent since recommendation. Despite slowing global economic growth, the shipping and logistics giant increased revenue 11.2 percent year over year during its most recent quarter, while net income jumped 22.1 percent. 

Freeport-McMoRan Copper & Gold (NYSE: FCX) is one of the world’s largest gold and copper producers. The miner’s operations suffered during the third quarter due to labor disruptions at its mines in Indonesia. Management estimates the strikes were responsible for declines in production of roughly 70 million pounds of copper and 100,000 ounces of gold. As a result, the miner’s net income declined 11.3 percent year over year. The company’s stock has shed 13.4 percent since recommendation.

The portfolio manager continues to hold these companies in high esteem. Although their stocks’ prices have mirrored the fluctuations of the market, these companies continue to grow both domestically and internationally. All three companies are leaders in their respective industries and offer small, but secure dividends for long-term investors.