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Is Columbia Large Cap Enhanced Core A (NMIAX) a Strong Mutual Fund Pick Right Now?
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Mutual Fund Equity Report fund seekers should consider taking a look at Columbia Large Cap Enhanced Core A (NMIAX - Free Report) . NMIAX bears 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
NMIAX finds itself in the Columbia family, based out of Kansas City, MO. The Columbia Large Cap Enhanced Core A made its debut in July of 1996 and NMIAX has managed to accumulate roughly $51.04 million in assets, as of the most recently available information. The fund's current manager, Raghavendran Sivaraman, has been in charge of the fund since December of 2019.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 9.61%, and is in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 10.39%, 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. NMIAX's standard deviation over the past three years is 20.55% compared to the category average of 17.33%. Looking at the past 5 years, the fund's standard deviation is 18.45% compared to the category average of 15.24%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. NMIAX has a 5-year beta of 1, which means it is likely to be as volatile as 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. With a negative alpha of -0.68, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Examining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is mostly on equities that are traded in the United States.
This fund is currently holding about 95.46% stock in stocks, and these companies have an average market capitalization of $265.45 billion. The fund has the heaviest exposure to the following market sectors:
Technology
Finance
Turnover is 67%, which means this fund makes more traders than comparable funds in a given year.
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, NMIAX is a no load fund. It has an expense ratio of 0.84% compared to the category average of 0.92%. NMIAX is actually cheaper than its peers when you consider factors like cost.
Investors need to be aware that with this product, the minimum initial investment is $2,000; each subsequent investment has no minimum amount.
Bottom Line
Overall, Columbia Large Cap Enhanced Core A ( NMIAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, Columbia Large Cap Enhanced Core A ( NMIAX ) 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 NMIAX to its peers as well for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.
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Is Columbia Large Cap Enhanced Core A (NMIAX) a Strong Mutual Fund Pick Right Now?
Mutual Fund Equity Report fund seekers should consider taking a look at Columbia Large Cap Enhanced Core A (NMIAX - Free Report) . NMIAX bears 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
NMIAX finds itself in the Columbia family, based out of Kansas City, MO. The Columbia Large Cap Enhanced Core A made its debut in July of 1996 and NMIAX has managed to accumulate roughly $51.04 million in assets, as of the most recently available information. The fund's current manager, Raghavendran Sivaraman, has been in charge of the fund since December of 2019.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 9.61%, and is in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 10.39%, 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. NMIAX's standard deviation over the past three years is 20.55% compared to the category average of 17.33%. Looking at the past 5 years, the fund's standard deviation is 18.45% compared to the category average of 15.24%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. NMIAX has a 5-year beta of 1, which means it is likely to be as volatile as 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. With a negative alpha of -0.68, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Examining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is mostly on equities that are traded in the United States.
This fund is currently holding about 95.46% stock in stocks, and these companies have an average market capitalization of $265.45 billion. The fund has the heaviest exposure to the following market sectors:
- Technology
- Finance
Turnover is 67%, which means this fund makes more traders than comparable funds in a given year.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, NMIAX is a no load fund. It has an expense ratio of 0.84% compared to the category average of 0.92%. NMIAX is actually cheaper than its peers when you consider factors like cost.
Investors need to be aware that with this product, the minimum initial investment is $2,000; each subsequent investment has no minimum amount.
Bottom Line
Overall, Columbia Large Cap Enhanced Core A ( NMIAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, Columbia Large Cap Enhanced Core A ( NMIAX ) 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 NMIAX to its peers as well for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.