Investors may find non-U.S. mutual funds more attractive than those with significant domestic exposure. Moreover, non-U.S. mutual funds are excellent choices for those looking to diversify their investments across a wide range of foreign countries, including both emerging and developed nations. Thus, investing in non-U.S. mutual funds may prove profitable.
Below we share with you three top-ranked non-U.S. mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. To view the Zacks Rank and past performance of all non-U.S. mutual funds, investors can click here to see the complete list of Non-US funds.
American Funds International Growth and Income Fund Class A (IGAAX - Free Report) invests the majority of its assets in securities of larger, well-established companies mostly outside the United States, which may include those in emerging markets and developing countries. The fund aims for long-term capital appreciation while providing current income. IGAAX has returned 2.5% in the past five years.
Andrew B. Suzman is the fund manager of IGAAX since 2008.
Vanguard International Growth Fund Investor Shares (VWIGX - Free Report) seeks to provide long-term capital growth to its investors. The fund invests the majority of its assets in securities of companies located outside the United States. It invests across all market capitalizations. VWIGX has five-year annualized returns of 13.9%.
VWIGX has an expense ratio of 0.43% compared with the category average of 1.11%.
Fidelity Latin America Fund (FLATX - Free Report) aims for long-term capital appreciation. It invests the majority of its assets in securities of Latin American companies. The fund primarily invests in common stocks of companies. Under normal circumstances, it invests about 35% of its total assets in any industry that has more than a fifth of its operations in Latin America. FLATX has five-year annualized returns of 2%.
As of the end of July 2020, FLATX held 30 issues with 9.19% of its assets invested in Petroleo Brasileiro SA Petrobras Participating Preferred.
To view the Zacks Rank and past performance of all non-U.S. mutual funds, investors can click here to see the complete list of funds.
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