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Having trouble finding a Mutual Fund Bond fund? PGIM Total Return Bond Z (PDBZX - Free Report) is a potential starting point. PDBZX carries a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
PDBZX finds itself in the PGIM family, based out of Providence, RI. PGIM Total Return Bond Z debuted in September of 1996. Since then, PDBZX has accumulated assets of about $21.04 billion, according to the most recently available information. The fund is currently managed by a team of investment professionals.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 0.12%, and it sits in the bottom third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of -3.05%, which places it in the bottom 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. Compared to the category average of 15.17%, the standard deviation of PDBZX over the past three years is 7.9%. The standard deviation of the fund over the past 5 years is 6.53% compared to the category average of 13.27%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 0.91, meaning that it is less volatile than a broad market index of fixed income securities. Taking this into account, PDBZX has a positive alpha of 0.12, 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, PDBZX has 49.82% in high quality bonds rated at least 'AA' or higher, while 30.91% are of medium quality, with ratings of 'A' to 'BBB'. The fund has an average quality of A, and focuses on high quality securities.
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, PDBZX is a no load fund. It has an expense ratio of 0.49% compared to the category average of 0.83%. From a cost perspective, PDBZX is actually cheaper than its peers.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Overall, PGIM Total Return Bond Z ( PDBZX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively weak performance, better downside risk, and lower fees, PGIM Total Return Bond Z ( PDBZX ) looks like a great potential choice for investors right now.
This could just be the start of your research on PDBZXin the Mutual Fund Bond category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.
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Is PDBZX a Strong Bond Fund Right Now?
Having trouble finding a Mutual Fund Bond fund? PGIM Total Return Bond Z (PDBZX - Free Report) is a potential starting point. PDBZX carries a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
PDBZX finds itself in the PGIM family, based out of Providence, RI. PGIM Total Return Bond Z debuted in September of 1996. Since then, PDBZX has accumulated assets of about $21.04 billion, according to the most recently available information. The fund is currently managed by a team of investment professionals.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 0.12%, and it sits in the bottom third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of -3.05%, which places it in the bottom 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. Compared to the category average of 15.17%, the standard deviation of PDBZX over the past three years is 7.9%. The standard deviation of the fund over the past 5 years is 6.53% compared to the category average of 13.27%. This makes the fund less volatile than its peers over the past half-decade.
This fund has a beta of 0.91, meaning that it is less volatile than a broad market index of fixed income securities. Taking this into account, PDBZX has a positive alpha of 0.12, 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, PDBZX has 49.82% in high quality bonds rated at least 'AA' or higher, while 30.91% are of medium quality, with ratings of 'A' to 'BBB'. The fund has an average quality of A, and focuses on high quality securities.
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, PDBZX is a no load fund. It has an expense ratio of 0.49% compared to the category average of 0.83%. From a cost perspective, PDBZX is actually cheaper than its peers.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Overall, PGIM Total Return Bond Z ( PDBZX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively weak performance, better downside risk, and lower fees, PGIM Total Return Bond Z ( PDBZX ) looks like a great potential choice for investors right now.
This could just be the start of your research on PDBZXin the Mutual Fund Bond category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.