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Is T. Rowe Price Japan Fund (PRJPX) a Strong Mutual Fund Pick Right Now?
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On the lookout for a Japan - Equity fund? Starting with T. Rowe Price Japan Fund (PRJPX - Free Report) should not be a possibility at this time. PRJPX possesses a Zacks Mutual Fund Rank of 4 (Sell), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We note that PRJPX is a Japan - Equity option, an area loaded with different choices. Primarily invest in companies in one of the world's richest and most diversified economies, Japan. While the country remains partially exposed to global economic trends due to its export focus, its lack of natural resources can also impact the nation.
History of Fund/Manager
PRJPX is a part of the T. Rowe Price family of funds, a company based out of Baltimore, MD. The T. Rowe Price Japan Fund made its debut in December of 1991 and PRJPX has managed to accumulate roughly $630.99 million in assets, as of the most recently available information. The fund is currently managed by Archibald A. Ciganer who has been in charge of the fund since December of 2013.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. PRJPX has a 5-year annualized total return of 15.41% and it sits in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 20.12%, 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. Compared to the category average of 15.64%, the standard deviation of PRJPX over the past three years is 10.4%. Looking at the past 5 years, the fund's standard deviation is 12.08% compared to the category average of 15.52%. This makes the fund less volatile than its peers over the past half-decade.
Risk Factors
It's always important to be aware of the downsides to any future investment, so one should not discount the risks that come with this segment. In PRJPX's case, the fund lost 50.7% in the most recent bear market and outperformed its peer group by 5.92%. This could mean that the fund is a better choice than comparable funds during a bear market.
Investors should note that the fund has a 5-year beta of 0.62, so it is likely going to be less volatile than the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. With a positive alpha of 5.75, managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, PRJPX is a no load fund. It has an expense ratio of 0.97% compared to the category average of 1.21%. From a cost perspective, PRJPX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $2,500 and that each subsequent investment needs to be at $100.
Bottom Line
Overall, T. Rowe Price Japan Fund has a low Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, this fund looks like a somewhat weak choice for investors right now.
Don't stop here for your research on Japan - Equity 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 PRJPX to its peers as well for additional information. And don't forget, Zacks has all of your needs covered on the equity side too! Make sure to check out Zacks.com for more information on our screening capabilities, Rank, and all our articles as well.
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Is T. Rowe Price Japan Fund (PRJPX) a Strong Mutual Fund Pick Right Now?
On the lookout for a Japan - Equity fund? Starting with T. Rowe Price Japan Fund (PRJPX - Free Report) should not be a possibility at this time. PRJPX possesses a Zacks Mutual Fund Rank of 4 (Sell), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We note that PRJPX is a Japan - Equity option, an area loaded with different choices. Primarily invest in companies in one of the world's richest and most diversified economies, Japan. While the country remains partially exposed to global economic trends due to its export focus, its lack of natural resources can also impact the nation.
History of Fund/Manager
PRJPX is a part of the T. Rowe Price family of funds, a company based out of Baltimore, MD. The T. Rowe Price Japan Fund made its debut in December of 1991 and PRJPX has managed to accumulate roughly $630.99 million in assets, as of the most recently available information. The fund is currently managed by Archibald A. Ciganer who has been in charge of the fund since December of 2013.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. PRJPX has a 5-year annualized total return of 15.41% and it sits in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 20.12%, 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. Compared to the category average of 15.64%, the standard deviation of PRJPX over the past three years is 10.4%. Looking at the past 5 years, the fund's standard deviation is 12.08% compared to the category average of 15.52%. This makes the fund less volatile than its peers over the past half-decade.
Risk Factors
It's always important to be aware of the downsides to any future investment, so one should not discount the risks that come with this segment. In PRJPX's case, the fund lost 50.7% in the most recent bear market and outperformed its peer group by 5.92%. This could mean that the fund is a better choice than comparable funds during a bear market.
Investors should note that the fund has a 5-year beta of 0.62, so it is likely going to be less volatile than the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. With a positive alpha of 5.75, managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, PRJPX is a no load fund. It has an expense ratio of 0.97% compared to the category average of 1.21%. From a cost perspective, PRJPX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $2,500 and that each subsequent investment needs to be at $100.
Bottom Line
Overall, T. Rowe Price Japan Fund has a low Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, this fund looks like a somewhat weak choice for investors right now.
Don't stop here for your research on Japan - Equity 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 PRJPX to its peers as well for additional information. And don't forget, Zacks has all of your needs covered on the equity side too! Make sure to check out Zacks.com for more information on our screening capabilities, Rank, and all our articles as well.