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Is AMG Yacktman I (YACKX) a Strong Mutual Fund Pick Right Now?

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Having trouble finding a Mutual Fund Equity Report fund? AMG Yacktman I (YACKX - Free Report) is a potential starting point. YACKX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.

History of Fund/Manager

AMG Funds is based in Greenwich, CT, and is the manager of YACKX. AMG Yacktman I made its debut in July of 1992, and since then, YACKX has accumulated about $9.22 billion in assets, per the most up-to-date date available. The fund's current manager is a team of investment professionals.

Performance

Investors naturally seek funds with strong performance. This fund carries a 5-year annualized total return of 13.64%, and is 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 13.64%, 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. The standard deviation of YACKX over the past three years is 16.66% compared to the category average of 20.51%. The fund's standard deviation over the past 5 years is 13.35% compared to the category average of 16.68%. This makes the fund less volatile than its peers over the past half-decade.

Risk Factors

Investors should not forget about beta, an important way to measure a mutual fund's risk compared to the market as a whole. YACKX has a 5-year beta of 0.77, which means it 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. YACKX has generated a negative alpha over the past five years of -0.19, demonstrating that managers in this portfolio find it difficult to pick 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, YACKX is a no load fund. It has an expense ratio of 0.70% compared to the category average of 1.13%. So, YACKX is actually cheaper than its peers from a cost perspective.

This fund requires a minimum initial investment of $100,000, and each subsequent investment should be at least $100.

Bottom Line

Overall, AMG Yacktman I ( YACKX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, AMG Yacktman I ( YACKX ) looks like a good potential choice for investors right now.

Want even more information about YACKX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis 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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