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Is Wasatch Micro Cap Fund (WMICX) a Strong Mutual Fund Pick Right Now?
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Have you been searching for a Mutual Fund Equity Report fund? You might want to begin with Wasatch Micro Cap Fund (WMICX - Free Report) . WMICX possesses a Zacks Mutual Fund Rank of 3 (Hold), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Wasatch is based in Salt Lake City, UT, and is the manager of WMICX. The Wasatch Micro Cap Fund made its debut in June of 1995 and WMICX has managed to accumulate roughly $1.19 billion in assets, as of the most recently available information. The fund's current manager, Daniel Chace, has been in charge of the fund since January of 2004.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 30%, and is in the top 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 32.22%, 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. WMICX's standard deviation over the past three years is 26.89% compared to the category average of 20.34%. The standard deviation of the fund over the past 5 years is 22.8% compared to the category average of 16.74%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 1.19, so investors should note that it is hypothetically more volatile than the market at large. 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. WMICX has generated a positive alpha over the past five years of 7.38, demonstrating that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, WMICX is a no load fund. It has an expense ratio of 1.61% compared to the category average of 1.21%. Looking at the fund from a cost perspective, WMICX is actually more expensive than its peers.
Investors should also note that the minimum initial investment for the product is $2,000 and that each subsequent investment needs to be at $100.
Bottom Line
Overall, Wasatch Micro Cap Fund ( WMICX ) has a neutral Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and higher fees, Wasatch Micro Cap Fund ( WMICX ) looks like a somewhat average choice for investors right now.
Your research on the Mutual Fund Equity Report segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.
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Is Wasatch Micro Cap Fund (WMICX) a Strong Mutual Fund Pick Right Now?
Have you been searching for a Mutual Fund Equity Report fund? You might want to begin with Wasatch Micro Cap Fund (WMICX - Free Report) . WMICX possesses a Zacks Mutual Fund Rank of 3 (Hold), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Wasatch is based in Salt Lake City, UT, and is the manager of WMICX. The Wasatch Micro Cap Fund made its debut in June of 1995 and WMICX has managed to accumulate roughly $1.19 billion in assets, as of the most recently available information. The fund's current manager, Daniel Chace, has been in charge of the fund since January of 2004.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 30%, and is in the top 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 32.22%, 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. WMICX's standard deviation over the past three years is 26.89% compared to the category average of 20.34%. The standard deviation of the fund over the past 5 years is 22.8% compared to the category average of 16.74%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 1.19, so investors should note that it is hypothetically more volatile than the market at large. 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. WMICX has generated a positive alpha over the past five years of 7.38, demonstrating that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, WMICX is a no load fund. It has an expense ratio of 1.61% compared to the category average of 1.21%. Looking at the fund from a cost perspective, WMICX is actually more expensive than its peers.
Investors should also note that the minimum initial investment for the product is $2,000 and that each subsequent investment needs to be at $100.
Bottom Line
Overall, Wasatch Micro Cap Fund ( WMICX ) has a neutral Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and higher fees, Wasatch Micro Cap Fund ( WMICX ) looks like a somewhat average choice for investors right now.
Your research on the Mutual Fund Equity Report segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.