Sponsored Links 
Top 5 Small Cap Mutual Funds
Print
ShareInvestors aiming to reap substantial profits in the short run often turn to small cap funds. Though comparatively riskier than other fund categories, these funds have the ability to deliver appreciably higher returns due to two principal reasons. Firstly, they generate high sales volumes in a rising market, leading to a spike in their prices. In addition, research has shown that smaller firms reinvest their profits back into their business. This often reassures shareholders of better performance over the long term.
Below we will share with you 5 top rated small-cap mutual funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect these mutual funds to outperform their peers in the future. To view the Zacks Rank and past performance of all small-cap mutual funds, then click here.
Invesco Small Cap Growth A (GTSAX) invests heavily in equity securities of small-cap companies. The fund primarily invests in companies which are within the capitalization range of the Russell 2000 index. Up to 25% of its assets are utilized to purchase foreign securities issued from mature or developing markets. The small-cap mutual fund returned 10.28% over the last one year period.
The small-cap mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.31% compared to a category average of 1.59%.
Pacific Advisors Small Cap A (PASMX) seeks long-term capital appreciation by investing in small-cap companies. At least 80% of its assets are invested in companies with market capitalizations up to $2 billion. The small-cap mutual fund has a ten year annualized return of 7.58%.
As of March 2010, this small-cap mutual fund held 32 issues, with 6.01% of its total assets invested in EZCorp, Inc.
Waddell & Reed Small Cap A (UNSAX) invests at least 80% of its assets in domestic and foreign small-cap companies. The fund focuses on acquiring common stocks of companies which are new entrants, particularly those entering growing sectors. The small-cap mutual fund returned 17.18% over the last one year period.
Gilbert Scott is the fund manager has managed this small-cap mutual fund since 2003.
Needham Small Cap Growth (NESGX) seeks capital growth with lowest possible tax implications. The majority of the fund’s assets is invested in domestic equity securities of companies with market capitalizations of less than $2 billion or is within the range of the Russell 2000 index, if greater. This small-cap mutual fund has a five year annualized return of 3.97%.
The small-cap mutual fund has a minimum initial investment of $2,000 and an expense ratio of 2.50% compared to a category average of 1.59%.
First American Small Cap Select A (EMGRX) invests heavily in common stocks of small-cap companies. These firms must be within the market cap range of the Russell 2000 index at the time of purchase. Up to 25% of its assets may be used to purchase dollar and non-dollar denominated equity securities. The small-cap mutual fund has a ten year annualized return of 3.59%.
Allen D. Steinkopf is the fund manager has managed this small-cap mutual fund since 2004.
To view the Zacks Rank and past performance of all small-cap mutual funds, then click here.
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank at http://www.zacks.com/funds/mutualfund/
Read the full analyst report on GTSAX
Read the full analyst report on PASMX
Read the full analyst report on UNSAX
Read the full analyst report on NESGX
Read the full analyst report on EMGRX
Loading Stories...
|
||||||||||||||||||
More Zacks Resources
More Zacks Links
| Market Summary | May 26, 2012 08:29 am ET |
-74.92