Investors in search of a China - Equity fund might want to consider looking at ProFunds UltraChina Investor (UGPIX Quick QuoteUGPIX - Free Report) . UGPIX has no Zacks Mutual Fund Rank, but we have been able to look into other metrics like performance, volatility, and cost.

Objective

UGPIX is one of many China - Equity mutual funds to choose from. These funds focus their investments almost exclusively on stocks in China, Taiwan, and Hong Kong. We tend to associate the Chinese economy with vast export-focused manufacturing, and although this is still important, China is increasingly catering to its booming middle class. If this approach sounds appealing to you, UGPIX could be the way to go.

History of Fund/Manager

ProFunds is based in Columbus, OH, and is the manager of UGPIX. ProFunds UltraChina Investor debuted in February of 2008. Since then, UGPIX has accumulated assets of about $18.80 million, according to the most recently available information. The fund's current manager, Alexander Ilyasov, has been in charge of the fund since August of 2020.

Performance

Investors naturally seek funds with strong performance. This fund in particular has delivered a 5-year annualized total return of -29.94%, and it sits 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 -17.73%, 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. Compared to the category average of 20.8%, the standard deviation of UGPIX over the past three years is 63.61%. The standard deviation of the fund over the past 5 years is 78.39% compared to the category average of 23.89%. This makes the fund more volatile than its peers over the past half-decade.

Risk Factors

The fund has a 5-year beta of 0.88, so investors should note that it is hypothetically 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. Over the past 5 years, the fund has a negative alpha of -18.86. This means that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.

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, UGPIX is a no load fund. It has an expense ratio of 1.34% compared to the category average of 1.40%. So, UGPIX is actually cheaper than its peers from a cost perspective.

Investors should also note that the minimum initial investment for the product is $15,000 and that each subsequent investment has no minimum amount.

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

Bottom Line

For additional information on this product, or to compare it to other mutual funds in the China - Equity, make sure to go to www.zacks.com/funds/mutual-funds 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.