If you've been stuck searching for Sector - Tech funds, consider Columbia Global Technology Growth A (CTCAX Quick QuoteCTCAX - Free Report) as a possibility. CTCAX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.

Objective

CTCAX is part of the Sector - Tech category, which boasts an array of different possible selections. With a much more diversified approach, Sector - Tech mutual funds give investors a way to own a stake in a notoriously risky sector. Tech companies are in various industries like semiconductors, software, internet, and networking, among others.

History of Fund/Manager

Columbia is responsible for CTCAX, and the company is based out of Kansas City, MO. Columbia Global Technology Growth A made its debut in November of 2002, and since then, CTCAX has accumulated about $841.84 million in assets, per the most up-to-date date available. Rahul Narang is the fund's current manager and has held that role since July of 2012.

Performance

Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 19.88%, and it sits in the top third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3 -year annualized total return of 9.76%, which places it in the top third during this time-frame.

It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.

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 CTCAX over the past three years is 24.75% compared to the category average of 0%. Over the past 5 years, the standard deviation of the fund is 22.91% compared to the category average of 9%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

Investors should note that the fund has a 5-year beta of 1.15, so it is likely going to be more volatile than the market at large. 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. Over the past 5 years, the fund has a positive alpha of 3.2. This means that 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, CTCAX is a load fund. It has an expense ratio of 1.18% compared to the category average of 30%. So, CTCAX is actually cheaper than its peers from a cost perspective.

While the minimum initial investment for the product is $2,000, investors should also note that there is no minimum for each subsequent investment.

Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.

Bottom Line

Overall, Columbia Global Technology Growth A ( CTCAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and lower fees, Columbia Global Technology Growth A ( CTCAX ) looks like a good potential choice for investors right now.

For additional information on this product, or to compare it to other mutual funds in the Sector - Tech, make sure to go to www.zacks.com/funds/mutual-funds for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.