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Is MFS Aggressive Growth Allocation A (MAAGX) a Strong Mutual Fund Pick Right Now?
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Any investors hoping to find a Mutual Fund Equity Report fund could think about starting with MFS Aggressive Growth Allocation A (MAAGX - Free Report) . MAAGX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
MFS is based in Boston, MA, and is the manager of MAAGX. MFS Aggressive Growth Allocation A debuted in June of 2002. Since then, MAAGX has accumulated assets of about $1.40 billion, according to the most recently available information. Joseph C. Flaherty Jr. Is the fund's current manager and has held that role since June of 2002.
Performance
Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 10.3%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 9.38%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 15.52%, the standard deviation of MAAGX over the past three years is 16.81%. Looking at the past 5 years, the fund's standard deviation is 14.89% compared to the category average of 13.61%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 0.88, the fund is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. MAAGX has generated a negative alpha over the past five years of -1.68, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, MAAGX is a load fund. It has an expense ratio of 0.38% compared to the category average of 0.86%. Looking at the fund from a cost perspective, MAAGX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $1,000 and that each subsequent investment needs to be at $50.
Bottom Line
Overall, MFS Aggressive Growth Allocation A ( MAAGX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, MFS Aggressive Growth Allocation A ( MAAGX ) looks like a good potential choice for investors right now.
Don't stop here for your research on Mutual Fund Equity Report funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare MAAGX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.
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Is MFS Aggressive Growth Allocation A (MAAGX) a Strong Mutual Fund Pick Right Now?
Any investors hoping to find a Mutual Fund Equity Report fund could think about starting with MFS Aggressive Growth Allocation A (MAAGX - Free Report) . MAAGX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
MFS is based in Boston, MA, and is the manager of MAAGX. MFS Aggressive Growth Allocation A debuted in June of 2002. Since then, MAAGX has accumulated assets of about $1.40 billion, according to the most recently available information. Joseph C. Flaherty Jr. Is the fund's current manager and has held that role since June of 2002.
Performance
Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 10.3%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 9.38%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 15.52%, the standard deviation of MAAGX over the past three years is 16.81%. Looking at the past 5 years, the fund's standard deviation is 14.89% compared to the category average of 13.61%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 0.88, the fund is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. MAAGX has generated a negative alpha over the past five years of -1.68, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, MAAGX is a load fund. It has an expense ratio of 0.38% compared to the category average of 0.86%. Looking at the fund from a cost perspective, MAAGX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $1,000 and that each subsequent investment needs to be at $50.
Bottom Line
Overall, MFS Aggressive Growth Allocation A ( MAAGX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, MFS Aggressive Growth Allocation A ( MAAGX ) looks like a good potential choice for investors right now.
Don't stop here for your research on Mutual Fund Equity Report funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare MAAGX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.