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Is Baron Fifth Avenue Growth Retail (BFTHX) a Strong Mutual Fund Pick Right Now?
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There are plenty of choices in the Large Cap Growth category, but where should you start your research? Well, one fund that might be worth investigating is Baron Fifth Avenue Growth Retail (BFTHX - Free Report) . BFTHX holds a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
BFTHX is part of the Large Cap Growth section, and this segment boasts an array of other possible options. Large Cap Growth mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. Companies are usually considered to be large-cap if their market capitalization is over $10 billion.
History of Fund/Manager
BFTHX is a part of the Baron family of funds, a company based out of New York, NY. The Baron Fifth Avenue Growth Retail made its debut in May of 2004 and BFTHX has managed to accumulate roughly $138.10 million in assets, as of the most recently available information. The fund is currently managed by Alex Umansky who has been in charge of the fund since November of 2011.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 8.19%, 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 28.69%, 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. BFTHX's standard deviation over the past three years is 22.6% compared to the category average of 12.57%. Looking at the past 5 years, the fund's standard deviation is 26.33% compared to the category average of 14.93%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 1.42, so investors should note that it is hypothetically more 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. BFTHX's 5-year performance has produced a negative alpha of -7.31, which means 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, BFTHX is a no load fund. It has an expense ratio of 1.00% compared to the category average of 0.93%. Looking at the fund from a cost perspective, BFTHX is actually more expensive than its peers.
This fund requires a minimum initial investment of $2,000, 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, even with its comparatively weak performance, worse downside risk, and higher fees, Baron Fifth Avenue Growth Retail ( BFTHX ) has a high Zacks Mutual Fund rank, and therefore looks a good potential choice for investors right now.
Don't stop here for your research on Large Cap Growth 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 BFTHX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.
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Is Baron Fifth Avenue Growth Retail (BFTHX) a Strong Mutual Fund Pick Right Now?
There are plenty of choices in the Large Cap Growth category, but where should you start your research? Well, one fund that might be worth investigating is Baron Fifth Avenue Growth Retail (BFTHX - Free Report) . BFTHX holds a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
BFTHX is part of the Large Cap Growth section, and this segment boasts an array of other possible options. Large Cap Growth mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. Companies are usually considered to be large-cap if their market capitalization is over $10 billion.
History of Fund/Manager
BFTHX is a part of the Baron family of funds, a company based out of New York, NY. The Baron Fifth Avenue Growth Retail made its debut in May of 2004 and BFTHX has managed to accumulate roughly $138.10 million in assets, as of the most recently available information. The fund is currently managed by Alex Umansky who has been in charge of the fund since November of 2011.
Performance
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 8.19%, 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 28.69%, 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. BFTHX's standard deviation over the past three years is 22.6% compared to the category average of 12.57%. Looking at the past 5 years, the fund's standard deviation is 26.33% compared to the category average of 14.93%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 1.42, so investors should note that it is hypothetically more 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. BFTHX's 5-year performance has produced a negative alpha of -7.31, which means 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, BFTHX is a no load fund. It has an expense ratio of 1.00% compared to the category average of 0.93%. Looking at the fund from a cost perspective, BFTHX is actually more expensive than its peers.
This fund requires a minimum initial investment of $2,000, 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, even with its comparatively weak performance, worse downside risk, and higher fees, Baron Fifth Avenue Growth Retail ( BFTHX ) has a high Zacks Mutual Fund rank, and therefore looks a good potential choice for investors right now.
Don't stop here for your research on Large Cap Growth 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 BFTHX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.