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3 Mutual Fund Misfires To Avoid In Your Retirement Portfolio - December 10, 2019
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If your advisor has you invested in any of these "Mutual Fund Misfires of the Market" with high fees and low returns, you need to rethink your advisor.
High fees plus poor performance: It's a pretty simple formula for a bad mutual fund. Some are worse than others - and some are so bad that they have earned a "Strong Sell" on the Zacks Rank, the lowest ranking of the nearly 19,000 mutual funds we rank daily.
First, let's break down some of the funds currently part of our "Mutual Fund Misfires of the Market." If you happen to have put your money into any of these misfires, we'll help assess some of our best Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
PSI Tactical Growth Fund A : 1.9% expense ratio and 1% management fee. FXTAX is an Allocation Balanced mutual fund. Allocation Balanced funds look to invest across asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual; these funds are mostly categorized by their respective asset allocation. With a five year after-expenses return of -1.17%, you're mostly paying more in fees than returns.
Eaton Vance Short Term Real Return C (ECRRX - Free Report) . Expense ratio: 1.7%. Management fee: 1%. Over the last 5 years, this fund has generated annual returns of 0.65%.
Leader Total Return Institutional (LCTIX - Free Report) - 1.88% expense ratio, 0.75% management fee. This fund has yielded yearly returns of 1.49% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Now that you've seen the worst Zacks Ranked mutual funds, let's have a look at some of the highest ranked funds with the lowest fees.
Victory Sycamore Established Value I (VEVIX - Free Report) : 0.61% expense ratio and 0.45% management fee. VEVIX is a Mid Cap Value mutual funds that aims to target medium-sized companies that possess strong value and income opportunities for investors. With an annual return of 10.85% over the last five years, this fund is a winner.
Johnson Enhanced Return Fund (JENHX - Free Report) : Expense ratio: 0.3%. Management fee: 0.35%. JENHX is an Allocation Balanced mutual fund. Allocation Balanced funds look to invest across asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual; these funds are mostly categorized by their respective asset allocation. JENHX has managed to produce a robust 10.89% over the last five years.
JPMorgan Large Cap Growth R6 (JLGMX - Free Report) : Expense ratio: 0.43%. Management fee: 0.45%. JLGMX is a Large Cap Growth mutual fund, and these funds invest in many large U.S. firms that are projected to grow at a faster rate than their large-cap peers. JLGMX has produced a 14.47% over the last five years.
Bottom Line
We hope that your investment advisor (if you use one) has you invested in one or all of the top-ranked mutual funds we've reviewed. But if that is not the case, and your advisor has you invested in any of the funds on our "worst offender" list, it might be time to have a conversation or reconsider this vitally important relationship.
Do You Know the Top 9 Retirement Investing Mistakes?
Whether you're planning to retire early or not, don't let investing mistakes derail your plans.
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3 Mutual Fund Misfires To Avoid In Your Retirement Portfolio - December 10, 2019
If your advisor has you invested in any of these "Mutual Fund Misfires of the Market" with high fees and low returns, you need to rethink your advisor.
High fees plus poor performance: It's a pretty simple formula for a bad mutual fund. Some are worse than others - and some are so bad that they have earned a "Strong Sell" on the Zacks Rank, the lowest ranking of the nearly 19,000 mutual funds we rank daily.
First, let's break down some of the funds currently part of our "Mutual Fund Misfires of the Market." If you happen to have put your money into any of these misfires, we'll help assess some of our best Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
PSI Tactical Growth Fund A : 1.9% expense ratio and 1% management fee. FXTAX is an Allocation Balanced mutual fund. Allocation Balanced funds look to invest across asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual; these funds are mostly categorized by their respective asset allocation. With a five year after-expenses return of -1.17%, you're mostly paying more in fees than returns.
Eaton Vance Short Term Real Return C (ECRRX - Free Report) . Expense ratio: 1.7%. Management fee: 1%. Over the last 5 years, this fund has generated annual returns of 0.65%.
Leader Total Return Institutional (LCTIX - Free Report) - 1.88% expense ratio, 0.75% management fee. This fund has yielded yearly returns of 1.49% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Now that you've seen the worst Zacks Ranked mutual funds, let's have a look at some of the highest ranked funds with the lowest fees.
Victory Sycamore Established Value I (VEVIX - Free Report) : 0.61% expense ratio and 0.45% management fee. VEVIX is a Mid Cap Value mutual funds that aims to target medium-sized companies that possess strong value and income opportunities for investors. With an annual return of 10.85% over the last five years, this fund is a winner.
Johnson Enhanced Return Fund (JENHX - Free Report) : Expense ratio: 0.3%. Management fee: 0.35%. JENHX is an Allocation Balanced mutual fund. Allocation Balanced funds look to invest across asset types, like stocks, bonds, and cash, and including precious metals or commodities is not unusual; these funds are mostly categorized by their respective asset allocation. JENHX has managed to produce a robust 10.89% over the last five years.
JPMorgan Large Cap Growth R6 (JLGMX - Free Report) : Expense ratio: 0.43%. Management fee: 0.45%. JLGMX is a Large Cap Growth mutual fund, and these funds invest in many large U.S. firms that are projected to grow at a faster rate than their large-cap peers. JLGMX has produced a 14.47% over the last five years.
Bottom Line
We hope that your investment advisor (if you use one) has you invested in one or all of the top-ranked mutual funds we've reviewed. But if that is not the case, and your advisor has you invested in any of the funds on our "worst offender" list, it might be time to have a conversation or reconsider this vitally important relationship.
Do You Know the Top 9 Retirement Investing Mistakes?
Whether you're planning to retire early or not, don't let investing mistakes derail your plans.
If you have $500,000 or more to invest and want to learn more, click the link to download our free report, 9 Retirement Mistakes that will Ruin Your Retirement.