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Is Kinetics Global Fund No Load (WWWEX) a Strong Mutual Fund Pick Right Now?

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If you've been stuck searching for Global - Equity funds, you might want to consider passing on by Kinetics Global Fund No Load (WWWEX - Free Report) as a possibility. WWWEX carries a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on nine forecasting factors like size, cost, and past performance.

Objective

WWWEX is classified in the Global - Equity segment by Zacks, an area full of possibilities. Even though Global - Equity mutual funds invest in bigger markets like the U.S., Europe, and Japan, these kinds of funds aren't limited by geography. Rather, they offer an investment strategy that utilizes the global economy to provide stable returns.

History of Fund/Manager

WWWEX finds itself in the Kinetics family, based out of Sleepy Hollow, NY. Kinetics Global Fund No Load debuted in February of 2003. Since then, WWWEX has accumulated assets of about $13.90 million, according to the most recently available information. The fund's current manager, Murray Stahl, has been in charge of the fund since February of 2003.

Performance

Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 14.65%, and it sits in the top third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 5.1%, 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. WWWEX's standard deviation over the past three years is 20.33% compared to the category average of 17.27%. The standard deviation of the fund over the past 5 years is 18.47% compared to the category average of 14.45%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

With a 5-year beta of 0.75, the fund is likely to be less volatile than the market average. 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. WWWEX's 5-year performance has produced a positive alpha of 3.62, which means managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.

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, WWWEX is a no load fund. It has an expense ratio of 1.39% compared to the category average of 1.16%. So, WWWEX is actually more expensive than its peers from a cost perspective.

While the minimum initial investment for the product is $2,500, investors should also note that there is no minimum for each subsequent investment.

Bottom Line

Overall, Kinetics Global Fund No Load ( WWWEX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, this fund looks like a poor potential choice for investors right now.

Your research on the Global - Equity segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer 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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