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Is Wasatch Micro Cap Value Fund (WAMVX) a Strong Mutual Fund Pick Right Now?
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Mutual Fund Equity Report fund seekers should not consider taking a look at Wasatch Micro Cap Value Fund (WAMVX - Free Report) at this time. WAMVX bears a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
History of Fund/Manager
WAMVX is a part of the Wasatch family of funds, a company based out of Salt Lake City, UT. Since Wasatch Micro Cap Value Fund made its debut in July of 2003, WAMVX has garnered more than $256.28 million in assets. The fund's current manager, Brian Bythrow, has been in charge of the fund since July of 2003.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 9.7%, 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 22.6%, 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 WAMVX over the past three years is 24.45% compared to the category average of 21.94%. Over the past 5 years, the standard deviation of the fund is 24.22% compared to the category average of 19.67%. This makes the fund more 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. WAMVX has a 5-year beta of 1.1, which means it is likely to be more 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. WAMVX has generated a negative alpha over the past five years of -1.24, 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, WAMVX is a no load fund. It has an expense ratio of 1.70% compared to the category average of 1.19%. So, WAMVX is actually more expensive than its peers from a cost perspective.
This fund requires a minimum initial investment of $2,000, and each subsequent investment should be at least $100.
Bottom Line
Overall, Wasatch Micro Cap Value Fund ( WAMVX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, Wasatch Micro Cap Value Fund ( WAMVX ) looks like a poor potential choice for investors right now.
Don't stop here for your research on Mutual Fund Equity Report 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 WAMVX 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 Wasatch Micro Cap Value Fund (WAMVX) a Strong Mutual Fund Pick Right Now?
Mutual Fund Equity Report fund seekers should not consider taking a look at Wasatch Micro Cap Value Fund (WAMVX - Free Report) at this time. WAMVX bears a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
History of Fund/Manager
WAMVX is a part of the Wasatch family of funds, a company based out of Salt Lake City, UT. Since Wasatch Micro Cap Value Fund made its debut in July of 2003, WAMVX has garnered more than $256.28 million in assets. The fund's current manager, Brian Bythrow, has been in charge of the fund since July of 2003.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 9.7%, 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 22.6%, 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 WAMVX over the past three years is 24.45% compared to the category average of 21.94%. Over the past 5 years, the standard deviation of the fund is 24.22% compared to the category average of 19.67%. This makes the fund more 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. WAMVX has a 5-year beta of 1.1, which means it is likely to be more 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. WAMVX has generated a negative alpha over the past five years of -1.24, 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, WAMVX is a no load fund. It has an expense ratio of 1.70% compared to the category average of 1.19%. So, WAMVX is actually more expensive than its peers from a cost perspective.
This fund requires a minimum initial investment of $2,000, and each subsequent investment should be at least $100.
Bottom Line
Overall, Wasatch Micro Cap Value Fund ( WAMVX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, Wasatch Micro Cap Value Fund ( WAMVX ) looks like a poor potential choice for investors right now.
Don't stop here for your research on Mutual Fund Equity Report 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 WAMVX 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.