On the lookout for a Mid Cap Value fund? Starting with T. Rowe Price Mid-Cap Value (TRMCX Quick QuoteTRMCX - Free Report) is one possibility. TRMCX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.

Objective

The world of Mid Cap Value funds is an area filled with options, like TRMCX. Targeting medium-sized companies with a market cap between $2 billion and $10 billion, Mid Cap Value mutual funds more often than not choose stocks that hold solid value and income investment opportunities.

History of Fund/Manager

TRMCX is a part of the T. Rowe Price family of funds, a company based out of Baltimore, MD. Since T. Rowe Price Mid-Cap Value made its debut in June of 1996, TRMCX has garnered more than $4.57 billion in assets. The fund is currently managed by Vincent DeAugustino who has been in charge of the fund since May of 2022.

Performance

Of course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 14.81%, 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 6.7%, 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. Compared to the category average of 15.17%, the standard deviation of TRMCX over the past three years is 19.99%. Over the past 5 years, the standard deviation of the fund is 18.41% compared to the category average of 16.38%. 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 0.96, so it is likely going to be less 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. TRMCX's 5-year performance has produced a positive alpha of 0.22, which means managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.

Holdings

Examining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is primarily on equities that are traded in the United States.

This fund is currently holding about 80.96% in stocks, and these companies have an average market capitalization of $20.75 billion. The fund has the heaviest exposure to the following market sectors:

• Industrial Cyclical
• Finance
• Technology
• Other

Turnover is 52.9%, which means, on average, the fund makes fewer trades than its comparable peers.

Expenses

As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, TRMCX is a no load fund. It has an expense ratio of 0.79% compared to the category average of 0.95%. TRMCX is actually cheaper than its peers when you consider factors like cost.

Investors should also note that the minimum initial investment for the product is $2,500 and that each subsequent investment needs to be at $100

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

Bottom Line

Overall, T. Rowe Price Mid-Cap Value ( TRMCX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, this fund looks like a good potential choice for investors right now.

Your research on the Mid Cap Value 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. 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.