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Is Invesco Developing Markets R6 (ODVIX) a Strong Mutual Fund Pick Right Now?
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There are plenty of choices in the Non US - Equity category, but where should you start your research? Well, one fund that may not be worth investigating is Invesco Developing Markets R6 (ODVIX - Free Report) . ODVIX carries a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes ODVIX as Non US - Equity, a segment stacked high with options. Non US - Equity mutual funds like to invest in companies outside of the United States, an important characteristic since global mutual funds are known to keep a good portion of their portfolio stateside. These kinds of funds can often extend across all cap levels, and will typically allocate their investments between emerging and developed markets.
History of Fund/Manager
Invesco is responsible for ODVIX, and the company is based out of Kansas City, MO. The Invesco Developing Markets R6 made its debut in December of 2011 and ODVIX has managed to accumulate roughly $3.10 billion in assets, as of the most recently available information. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. ODVIX has a 5-year annualized total return of 1.06%, and is in the bottom 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 12.01%, which places it in the bottom 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. ODVIX's standard deviation over the past three years is 13.46% compared to the category average of 11.52%. Looking at the past 5 years, the fund's standard deviation is 17.12% compared to the category average of 13.35%. 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 0.67, which means it is hypothetically less volatile than the market at large. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. ODVIX has generated a negative alpha over the past five years of -7.67, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, ODVIX is a no load fund. It has an expense ratio of 0.87% compared to the category average of 0.95%. So, ODVIX is actually cheaper than its peers from a cost perspective.
This fund requires a minimum initial investment of $1.00 million, while there is no minimum for each subsequent investment.
Fees charged by investment advisors have not been taken into consideration. Returns would be less if those were included.
Bottom Line
Overall, Invesco Developing Markets R6 ( ODVIX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively weak performance, average downside risk, and lower fees, Invesco Developing Markets R6 ( ODVIX ) looks like a somewhat weak choice for investors right now.
Don't stop here for your research on Non US - Equity 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 ODVIX to its peers 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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Is Invesco Developing Markets R6 (ODVIX) a Strong Mutual Fund Pick Right Now?
There are plenty of choices in the Non US - Equity category, but where should you start your research? Well, one fund that may not be worth investigating is Invesco Developing Markets R6 (ODVIX - Free Report) . ODVIX carries a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.
Objective
Zacks categorizes ODVIX as Non US - Equity, a segment stacked high with options. Non US - Equity mutual funds like to invest in companies outside of the United States, an important characteristic since global mutual funds are known to keep a good portion of their portfolio stateside. These kinds of funds can often extend across all cap levels, and will typically allocate their investments between emerging and developed markets.
History of Fund/Manager
Invesco is responsible for ODVIX, and the company is based out of Kansas City, MO. The Invesco Developing Markets R6 made its debut in December of 2011 and ODVIX has managed to accumulate roughly $3.10 billion in assets, as of the most recently available information. The fund is currently managed by a team of investment professionals.
Performance
Investors naturally seek funds with strong performance. ODVIX has a 5-year annualized total return of 1.06%, and is in the bottom 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 12.01%, which places it in the bottom 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. ODVIX's standard deviation over the past three years is 13.46% compared to the category average of 11.52%. Looking at the past 5 years, the fund's standard deviation is 17.12% compared to the category average of 13.35%. 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 0.67, which means it is hypothetically less volatile than the market at large. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. ODVIX has generated a negative alpha over the past five years of -7.67, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, ODVIX is a no load fund. It has an expense ratio of 0.87% compared to the category average of 0.95%. So, ODVIX is actually cheaper than its peers from a cost perspective.
This fund requires a minimum initial investment of $1.00 million, while there is no minimum for each subsequent investment.
Fees charged by investment advisors have not been taken into consideration. Returns would be less if those were included.
Bottom Line
Overall, Invesco Developing Markets R6 ( ODVIX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively weak performance, average downside risk, and lower fees, Invesco Developing Markets R6 ( ODVIX ) looks like a somewhat weak choice for investors right now.
Don't stop here for your research on Non US - Equity 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 ODVIX to its peers 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.