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Having trouble finding an International Bond - Developed fund? Well, Oppenheimer International Bond Y (OIBYX - Free Report) would not be a good potential starting point right now. OIBYX carries a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
The world of International Bond - Developed funds is an area filled with different choices, like OIBYX. International Bond - Developed funds focus on fixed income securities from developed nations besides the United States. This usually results in countries like Japan, Germany, the UK, France, and Australia dominating the list of top holdings. Funds here offer geographic diversification, but they can also introduce currency risk into the picture as well.
History of Fund/Manager
OIBYX is a part of the Invesco family of funds, a company based out of Kansas City, MO. Since Oppenheimer International Bond Y made its debut in October of 2004, OIBYX has garnered more than $425.63 million in assets. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. OIBYX has a 5-year annualized total return of -0.76% and it sits in the middle third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3 -year annualized total return of -4.47%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
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. OIBYX's standard deviation over the past three years is 10.91% compared to the category average of 13.31%. The fund's standard deviation over the past 5 years is 12.55% compared to the category average of 14.02%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 0.25, meaning that it is less volatile than a broad market index of fixed income securities. Taking this into account, OIBYX has a positive alpha of 0.19, which measures performance on a risk-adjusted basis.
Ratings
Investors should also consider a bond's rating, which is a grade ( 'AAA' to 'D' ) given to a bond that indicates its credit quality. With this letter scale in mind, OIBYX has 27.22% in high quality bonds rated at least 'AA' or higher, while 34.26% are of medium quality, with ratings of 'A' to 'BBB'. The fund's junk bond component-bonds rated 'BB' or below-is at 36.04%, giving OIBYX an average quality of BBB. This means that it focuses on medium quality securities.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, OIBYX is a no load fund. It has an expense ratio of 0.79% compared to the category average of 0.93%. So, OIBYX is actually cheaper than its peers from a cost perspective.
While the minimum initial investment for the product is $1,000, investors should also note that each subsequent investment needs to be at least $50.
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, even with its comparatively similar performance, average downside risk, and lower fees, Oppenheimer International Bond Y ( OIBYX ) has a low Zacks Mutual Fund rank, and therefore looks a somewhat weak choice for investors right now.
Don't stop here for your research on International Bond - Developed 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 OIBYX to its peers as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.
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Is OIBYX a Strong Bond Fund Right Now?
Having trouble finding an International Bond - Developed fund? Well, Oppenheimer International Bond Y (OIBYX - Free Report) would not be a good potential starting point right now. OIBYX carries a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
The world of International Bond - Developed funds is an area filled with different choices, like OIBYX. International Bond - Developed funds focus on fixed income securities from developed nations besides the United States. This usually results in countries like Japan, Germany, the UK, France, and Australia dominating the list of top holdings. Funds here offer geographic diversification, but they can also introduce currency risk into the picture as well.
History of Fund/Manager
OIBYX is a part of the Invesco family of funds, a company based out of Kansas City, MO. Since Oppenheimer International Bond Y made its debut in October of 2004, OIBYX has garnered more than $425.63 million in assets. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. OIBYX has a 5-year annualized total return of -0.76% and it sits in the middle third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3 -year annualized total return of -4.47%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
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. OIBYX's standard deviation over the past three years is 10.91% compared to the category average of 13.31%. The fund's standard deviation over the past 5 years is 12.55% compared to the category average of 14.02%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 0.25, meaning that it is less volatile than a broad market index of fixed income securities. Taking this into account, OIBYX has a positive alpha of 0.19, which measures performance on a risk-adjusted basis.
Ratings
Investors should also consider a bond's rating, which is a grade ( 'AAA' to 'D' ) given to a bond that indicates its credit quality. With this letter scale in mind, OIBYX has 27.22% in high quality bonds rated at least 'AA' or higher, while 34.26% are of medium quality, with ratings of 'A' to 'BBB'. The fund's junk bond component-bonds rated 'BB' or below-is at 36.04%, giving OIBYX an average quality of BBB. This means that it focuses on medium quality securities.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, OIBYX is a no load fund. It has an expense ratio of 0.79% compared to the category average of 0.93%. So, OIBYX is actually cheaper than its peers from a cost perspective.
While the minimum initial investment for the product is $1,000, investors should also note that each subsequent investment needs to be at least $50.
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, even with its comparatively similar performance, average downside risk, and lower fees, Oppenheimer International Bond Y ( OIBYX ) has a low Zacks Mutual Fund rank, and therefore looks a somewhat weak choice for investors right now.
Don't stop here for your research on International Bond - Developed 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 OIBYX to its peers as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.