If investors are looking at the Large Cap Value fund category, Thrivent Large Cap Value Fund S (TLVIX - Free Report) could be a potential option. TLVIX has a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
TLVIX is classified in the Large Cap Value segment by Zacks, which is an area full of possibilities. Investors interested in a stable income stream fund these mutual funds very appealing because they have a unique investing strategy. Large Cap Value funds invest in stocks with a market capitalization of $10 billion or more, but whose share prices do not reflect their intrinsic value. This tactic often leads to low P/E ratios and high dividend yields; however, these funds'high growth opportunity are often slowed, as large-cap securities are generally in stable industries with low to moderate growth prospects.
History of Fund/Manager
Thrivent is responsible for TLVIX, and the company is based out of Appleton, WI. Thrivent Large Cap Value Fund S made its debut in December of 1997, and since then, TLVIX has accumulated about $804.10 million in assets, per the most up-to-date date available. The fund's current manager, Kurt J. Lauber, has been in charge of the fund since March of 2013.
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 8.7%, and it sits in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 10.89%, which places it in the top third during this time-frame.
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 TLVIX over the past three years is 11.73% compared to the category average of 9.19%. The standard deviation of the fund over the past 5 years is 11.69% compared to the category average of 9.47%. This makes the fund more volatile than its peers over the past half-decade.
Investors should always remember the downsides to a potential investment, and this segment carries some risks one should be aware of. In the most recent bear market, TLVIX lost 50.69% and outperformed its peer group by 0.01%. These results could imply that the fund is a better choice than its peers during a sliding market environment.
Investors should note that the fund has a 5-year beta of 1.1, so it is likely going to be more volatile than the market at large. Because alpha represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. With a negative alpha of -3.02, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Investigating 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 principally on equities that are traded in the United States.
As of the last filing date, the mutual fund has 96.64% of its assets in stocks, and these companies have an average market capitalization of $153.88 billion. The fund has the heaviest exposure to the following market sectors:
Turnover is 18%, which means, on average, the fund makes fewer trades than comparable funds.
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, TLVIX is a no load fund. It has an expense ratio of 0.53% compared to the category average of 1.03%. From a cost perspective, TLVIX is actually cheaper than its peers.
While the minimum initial investment for the product is $2,000, investors should also note that each subsequent investment needs to be at least $50.
Overall, Thrivent Large Cap Value Fund S ( TLVIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, Thrivent Large Cap Value Fund S ( TLVIX ) looks like a good potential choice for investors right now.
Don't stop here for your research on Large Cap Value 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 TLVIX 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.