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3 Mutual Fund Misfires To Avoid In Your Retirement Portfolio - December 09, 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 coupled with poor results: It's a straightforward equation for an awful mutual fund. Some are more regrettable than others - and some are bad to the point that they have got a "Strong Sell" from our Zacks Rank, the lowest positioning of the almost 19,000 mutual funds we rank every day.
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.
Day Hagan Tactical Allocation C : 2.36% expense ratio and 1% management fee. DHACX is classified as an Allocation Balanced fund, which seeks to invest in a balance of asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual. With a five year after-costs return of 0.4%, you're for the most part paying more in charges than returns.
RBC Emerging Markets Small Cap Equity I . Expense ratio: 1.45%. Management fee: 1%. Over the last 5 years, this fund has generated annual returns of -0.38%.
Third Avenue Value Fund Investor (TVFVX - Free Report) : Expense ratio: 1.4%. Management fee: 0.9%. TVFVX is a Small Cap Value fund, and these funds are known for investing in companies with market caps under $2 billion. With annual returns of just -3.78%, it's no surprise this fund has received Zacks' "Strong Sell" ranking.
3 Top Ranked Mutual Funds
Now that you've seen the worst Zacks Ranked mutual funds, let's have a look at some of the highest ranked funds with the lowest fees.
Fidelity Select Software & Company Services (FSCSX - Free Report) : Expense ratio: 0.74%. Management fee: 0.54%. FSCSX is a Sector - Tech mutual fund, allowing investors to own a stake in a notoriously volatile sector with a much more diversified approach. This fund has achieved five-year annual returns of an astounding 18.77%.
Nuveen Winslow Large-Cap Growth R3 : Expense ratio: 1.23%. Management fee: 0.69%. NWCRX is a Large Cap Growth mutual fund, and these funds invest in many large U.S. firms that are projected to grow at a faster rate than their large-cap peers. NWCRX has managed to produce a robust 12.02% over the last five years.
MSIF Global Quality Portfolio I (MGQIX - Free Report) is an attractive fund with a five-year annualized return of 10.2% and an expense ratio of just 0.89%. MGQIX is a Global - Equity mutual fund investing in bigger markets like the U.S., Europe, and Japan; these kinds of funds aren't limited by geography.
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 In Your Retirement Portfolio - December 09, 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 coupled with poor results: It's a straightforward equation for an awful mutual fund. Some are more regrettable than others - and some are bad to the point that they have got a "Strong Sell" from our Zacks Rank, the lowest positioning of the almost 19,000 mutual funds we rank every day.
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.
Day Hagan Tactical Allocation C : 2.36% expense ratio and 1% management fee. DHACX is classified as an Allocation Balanced fund, which seeks to invest in a balance of asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual. With a five year after-costs return of 0.4%, you're for the most part paying more in charges than returns.
RBC Emerging Markets Small Cap Equity I . Expense ratio: 1.45%. Management fee: 1%. Over the last 5 years, this fund has generated annual returns of -0.38%.
Third Avenue Value Fund Investor (TVFVX - Free Report) : Expense ratio: 1.4%. Management fee: 0.9%. TVFVX is a Small Cap Value fund, and these funds are known for investing in companies with market caps under $2 billion. With annual returns of just -3.78%, it's no surprise this fund has received Zacks' "Strong Sell" ranking.
3 Top Ranked Mutual Funds
Now that you've seen the worst Zacks Ranked mutual funds, let's have a look at some of the highest ranked funds with the lowest fees.
Fidelity Select Software & Company Services (FSCSX - Free Report) : Expense ratio: 0.74%. Management fee: 0.54%. FSCSX is a Sector - Tech mutual fund, allowing investors to own a stake in a notoriously volatile sector with a much more diversified approach. This fund has achieved five-year annual returns of an astounding 18.77%.
Nuveen Winslow Large-Cap Growth R3 : Expense ratio: 1.23%. Management fee: 0.69%. NWCRX is a Large Cap Growth mutual fund, and these funds invest in many large U.S. firms that are projected to grow at a faster rate than their large-cap peers. NWCRX has managed to produce a robust 12.02% over the last five years.
MSIF Global Quality Portfolio I (MGQIX - Free Report) is an attractive fund with a five-year annualized return of 10.2% and an expense ratio of just 0.89%. MGQIX is a Global - Equity mutual fund investing in bigger markets like the U.S., Europe, and Japan; these kinds of funds aren't limited by geography.
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.