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Are You Invested In These 3 Mutual Fund Misfires? - October 28, 2019
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If your financial advisor made you buy any of these "Mutual Fund Misfires of the Market" with high expenses and low returns, you need to reassess 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.
Oppenheimer SteelPath MLP Alpha Y (MLPOX - Free Report) : This fund has an expense ratio of 1.29% and a management fee of 1.1%. Without even doing any in-depth analysis, just the fact that you are paying more in fees than you're earning in returns is reason enough not to invest. MLPOX is classified as a Sector - Energy mutual fund. Throughout the massive global energy sector, these funds hold a wide range of quickly changing and vitally important industries. The fund has lagged performance-wise, so perhaps a simpler index future investing strategy might be more effective.
Janus Henderson Emerging Markets C (HEMCX - Free Report) . Expense ratio: 2.16%. Management fee: 1.1%. Over the last 5 years, this fund has generated annual returns of -0.38%.
Hartford Global Real Asset I (HRLIX - Free Report) : Expense ratio: 0.97%. Management fee: 0.85%. HRLIX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. With annual returns of just -1.58%, it's no surprise this fund has received Zacks' "Strong Sell" ranking.
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.
DFA US Large Cap Growth Institutional (DUSLX - Free Report) is a winner, with an expense ratio of just 0.2% and a five-year annualized return track record of 12.05%.
Vanguard Global Mineral Volatility Investor (VMVFX - Free Report) has an expense ratio of 0.22% and management fee of 0.2%. VMVFX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. Thanks to yearly returns of 10.47% over the last five years, VMVFX is an effectively diversified fund with a long reputation of solidly positive performance.
KP Large Cap Equity Institutional is an attractive fund with a five-year annualized return of 10.69% and an expense ratio of just 0.3%. KPLCX is part of the Large Cap Blend section, and these mutual funds most often invest in firms with a market capitalization of $10 billion or more. By investing in bigger companies, these funds offer more stability, and are often well-suited for investors with a "buy and hold" mindset.
Bottom Line
We hope that your investment advisor (if you use one) has you invested in one or all of the top-ranked mutual funds we've reviewed. But if that is not the case, and your advisor has you invested in any of the funds on our "worst offender" list, it might be time to have a conversation or reconsider this vitally important relationship.
If you have concerns or any doubts about your investment advisor, read our just-released report:
Image: Bigstock
Are You Invested In These 3 Mutual Fund Misfires? - October 28, 2019
If your financial advisor made you buy any of these "Mutual Fund Misfires of the Market" with high expenses and low returns, you need to reassess 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.
Oppenheimer SteelPath MLP Alpha Y (MLPOX - Free Report) : This fund has an expense ratio of 1.29% and a management fee of 1.1%. Without even doing any in-depth analysis, just the fact that you are paying more in fees than you're earning in returns is reason enough not to invest. MLPOX is classified as a Sector - Energy mutual fund. Throughout the massive global energy sector, these funds hold a wide range of quickly changing and vitally important industries. The fund has lagged performance-wise, so perhaps a simpler index future investing strategy might be more effective.
Janus Henderson Emerging Markets C (HEMCX - Free Report) . Expense ratio: 2.16%. Management fee: 1.1%. Over the last 5 years, this fund has generated annual returns of -0.38%.
Hartford Global Real Asset I (HRLIX - Free Report) : Expense ratio: 0.97%. Management fee: 0.85%. HRLIX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. With annual returns of just -1.58%, it's no surprise this fund has received Zacks' "Strong Sell" ranking.
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.
DFA US Large Cap Growth Institutional (DUSLX - Free Report) is a winner, with an expense ratio of just 0.2% and a five-year annualized return track record of 12.05%.
Vanguard Global Mineral Volatility Investor (VMVFX - Free Report) has an expense ratio of 0.22% and management fee of 0.2%. VMVFX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. Thanks to yearly returns of 10.47% over the last five years, VMVFX is an effectively diversified fund with a long reputation of solidly positive performance.
KP Large Cap Equity Institutional is an attractive fund with a five-year annualized return of 10.69% and an expense ratio of just 0.3%. KPLCX is part of the Large Cap Blend section, and these mutual funds most often invest in firms with a market capitalization of $10 billion or more. By investing in bigger companies, these funds offer more stability, and are often well-suited for investors with a "buy and hold" mindset.
Bottom Line
We hope that your investment advisor (if you use one) has you invested in one or all of the top-ranked mutual funds we've reviewed. But if that is not the case, and your advisor has you invested in any of the funds on our "worst offender" list, it might be time to have a conversation or reconsider this vitally important relationship.
If you have concerns or any doubts about your investment advisor, read our just-released report:
4 Warning Signs That Your Advisor Might be Sabotaging Your Financial Future