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3 Mutual Fund Misfires to Avoid - November 12, 2019
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If your advisor has you invested in any of these "Mutual Fund Misfires of the Market" with high fees and low returns, you need to rethink your advisor.
High fees plus poor performance: It's a pretty simple formula for a bad mutual fund. Some are worse than others - and some are so bad that they have earned a "Strong Sell" on the Zacks Rank, the lowest ranking of the nearly 19,000 mutual funds we rank daily.
Below, you'll read about some of the funds included in our current list of "Mutual Fund Misfires of the Market." And if by chance you're invested in any of these misfires, we'll help and review some of our highest Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
AB Allocation Market Real Return K (AMTKX - Free Report) : Expense ratio: 1.27%. Management fee: 0.75%. After expenses, the 5 year return is -2.67%, meaning your fees are far higher than the fund's returns.
Russell Emerging Markets C (REMCX - Free Report) . Expense ratio: 2.41%. Management fee: 0.75%. Over the last 5 years, this fund has generated annual returns of 0.4%.
AMG SouthernSun Small Cap I (SSSIX - Free Report) - 1% expense ratio, 0.75% management fee. This fund has yielded yearly returns of 0.74% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Since you've seen the most noticeably lowest Zacks Ranked mutual funds, how about we take a look at some of the top ranked mutual funds with the least fees.
Calvert Equity Portfolio I (CEYIX - Free Report) is a fund that has an expense ratio of 0.71%, and a management fee of 0.61%. CEYIX is a Large Cap Growth option; these mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. With yearly returns of 14.41% over the last five years, this fund clearly wins.
Neuberger Berman Small Cap Growth Trust (NBMOX - Free Report) has an expense ratio of 1.3% and management fee of 1.25%. NBMOX is a Small Cap Growth mutual fund and tends to feature small companies in up-and-coming industries and markets. With annual returns of 12.36% over the last five years, this is a well-diversified fund with a long track record of success.
Virtus KAR Small-Cap Core I (PKSFX - Free Report) is an attractive fund with a five-year annualized return of 17.9% and an expense ratio of just 1.02%. PKSFX is a Small Cap Blend mutual fund, allowing investors a way to diversify their funds among various types of small-cap stocks.
Bottom Line
Along these lines, there you have it - if your financial guide has you put your money into any of our "Mutual Fund Misfires of the Market," there is a strong likelihood that they are either dormant at the worst possible time, inept, or (in all probability) filling their pockets with high fee commissions at the cost of your financial objectives.
Do You Know the Top 9 Retirement Investing Mistakes?
Whether you're planning to retire early or not, don't let investing mistakes derail your plans.
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3 Mutual Fund Misfires to Avoid - November 12, 2019
If your advisor has you invested in any of these "Mutual Fund Misfires of the Market" with high fees and low returns, you need to rethink your advisor.
High fees plus poor performance: It's a pretty simple formula for a bad mutual fund. Some are worse than others - and some are so bad that they have earned a "Strong Sell" on the Zacks Rank, the lowest ranking of the nearly 19,000 mutual funds we rank daily.
Below, you'll read about some of the funds included in our current list of "Mutual Fund Misfires of the Market." And if by chance you're invested in any of these misfires, we'll help and review some of our highest Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
AB Allocation Market Real Return K (AMTKX - Free Report) : Expense ratio: 1.27%. Management fee: 0.75%. After expenses, the 5 year return is -2.67%, meaning your fees are far higher than the fund's returns.
Russell Emerging Markets C (REMCX - Free Report) . Expense ratio: 2.41%. Management fee: 0.75%. Over the last 5 years, this fund has generated annual returns of 0.4%.
AMG SouthernSun Small Cap I (SSSIX - Free Report) - 1% expense ratio, 0.75% management fee. This fund has yielded yearly returns of 0.74% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Since you've seen the most noticeably lowest Zacks Ranked mutual funds, how about we take a look at some of the top ranked mutual funds with the least fees.
Calvert Equity Portfolio I (CEYIX - Free Report) is a fund that has an expense ratio of 0.71%, and a management fee of 0.61%. CEYIX is a Large Cap Growth option; these mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. With yearly returns of 14.41% over the last five years, this fund clearly wins.
Neuberger Berman Small Cap Growth Trust (NBMOX - Free Report) has an expense ratio of 1.3% and management fee of 1.25%. NBMOX is a Small Cap Growth mutual fund and tends to feature small companies in up-and-coming industries and markets. With annual returns of 12.36% over the last five years, this is a well-diversified fund with a long track record of success.
Virtus KAR Small-Cap Core I (PKSFX - Free Report) is an attractive fund with a five-year annualized return of 17.9% and an expense ratio of just 1.02%. PKSFX is a Small Cap Blend mutual fund, allowing investors a way to diversify their funds among various types of small-cap stocks.
Bottom Line
Along these lines, there you have it - if your financial guide has you put your money into any of our "Mutual Fund Misfires of the Market," there is a strong likelihood that they are either dormant at the worst possible time, inept, or (in all probability) filling their pockets with high fee commissions at the cost of your financial objectives.
Do You Know the Top 9 Retirement Investing Mistakes?
Whether you're planning to retire early or not, don't let investing mistakes derail your plans.
If you have $500,000 or more to invest and want to learn more, click the link to download our free report, 9 Retirement Mistakes that will Ruin Your Retirement.