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Does Your Retirement Portfolio Hold These 3 Mutual Fund Misfires? - December 12, 2019
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If your financial advisor made you buy any of these "Mutual Fund Misfires of the Market" with high expenses and low returns, you need to reassess your advisor.
High fees coupled with poor results: It's a straightforward equation for an awful mutual fund. Some are more regrettable than others - and some are bad to the point that they have got a "Strong Sell" from our Zacks Rank, the lowest positioning of the almost 19,000 mutual funds we rank every day.
Below, you'll read about some of the funds included in our current list of "Mutual Fund Misfires of the Market." And if by chance you're invested in any of these misfires, we'll help and review some of our highest Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
Dunham International Stock C (DCINX - Free Report) : 2.52% expense ratio and 1.36% management fee. DCINX is a Non US - Equity fund. Many of these funds like to allocate across emerging and developed markets, and will often focus on all cap levels. With a five year after-expenses return of 1.44%, you're mostly paying more in fees than returns.
Marketfield I (MFLDX - Free Report) : MFLDX is a Long Short - Equity mutual fund, which look at taking long positions in equities that are expected to appreciate and short positions in equities that are projected to decline, but overall, hope to minimize their market exposure. MFLDX offers an expense ratio of 2.37% and annual returns of -1% over the last five years. Even if this fund can be positioned as a hedge during the recent bull-market, paying more in fees than returns over the long-term should never be an acceptable result.
Victory RS Global Natural Resources Y (RSNYX - Free Report) - 1.15% expense ratio, 1% management fee. RSNYX is a Sector - Energy fund, which are comprised of various changing and hugely important industries throughout the massive global energy sector. RSNYX has generated annual returns of -23.68% over the last five years. Ouch!
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.
DFA Real Estate Securities Institutional (DFREX - Free Report) is a winner, with an expense ratio of just 0.18% and a five-year annualized return track record of 11.04%.
Jensen Quality Growth Fund J (JENSX - Free Report) has an expense ratio of 0.86% and management fee of 0.49%. JENSX is a Large Cap Growth option; these 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. Thanks to yearly returns of 11.99% over the last five years, JENSX is an effectively diversified fund with a long reputation of solidly positive performance.
Emerald Growth Fund Institutional (FGROX - Free Report) has an expense ratio of 0.69% and management fee of 0.56%. FGROX is a Small Cap Growth mutual fund and tends to feature small companies in up-and-coming industries and markets. With yearly returns of 10.21% over the last five years, this fund is well-diversified with a long reputation of salutary performance.
Bottom Line
These examples underscore the huge range in quality of mutual funds - from the really bad to the astonishingly good. There is no reason for your advisor to keep your money in any fund that charges more than you get in return (unless they're getting something out of it, like a high commission).
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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Does Your Retirement Portfolio Hold These 3 Mutual Fund Misfires? - December 12, 2019
If your financial advisor made you buy any of these "Mutual Fund Misfires of the Market" with high expenses and low returns, you need to reassess your advisor.
High fees coupled with poor results: It's a straightforward equation for an awful mutual fund. Some are more regrettable than others - and some are bad to the point that they have got a "Strong Sell" from our Zacks Rank, the lowest positioning of the almost 19,000 mutual funds we rank every day.
Below, you'll read about some of the funds included in our current list of "Mutual Fund Misfires of the Market." And if by chance you're invested in any of these misfires, we'll help and review some of our highest Zacks Ranked mutual funds.
3 Mutual Fund Misfires
Now, let's take a look at three market misfires.
Dunham International Stock C (DCINX - Free Report) : 2.52% expense ratio and 1.36% management fee. DCINX is a Non US - Equity fund. Many of these funds like to allocate across emerging and developed markets, and will often focus on all cap levels. With a five year after-expenses return of 1.44%, you're mostly paying more in fees than returns.
Marketfield I (MFLDX - Free Report) : MFLDX is a Long Short - Equity mutual fund, which look at taking long positions in equities that are expected to appreciate and short positions in equities that are projected to decline, but overall, hope to minimize their market exposure. MFLDX offers an expense ratio of 2.37% and annual returns of -1% over the last five years. Even if this fund can be positioned as a hedge during the recent bull-market, paying more in fees than returns over the long-term should never be an acceptable result.
Victory RS Global Natural Resources Y (RSNYX - Free Report) - 1.15% expense ratio, 1% management fee. RSNYX is a Sector - Energy fund, which are comprised of various changing and hugely important industries throughout the massive global energy sector. RSNYX has generated annual returns of -23.68% over the last five years. Ouch!
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.
DFA Real Estate Securities Institutional (DFREX - Free Report) is a winner, with an expense ratio of just 0.18% and a five-year annualized return track record of 11.04%.
Jensen Quality Growth Fund J (JENSX - Free Report) has an expense ratio of 0.86% and management fee of 0.49%. JENSX is a Large Cap Growth option; these 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. Thanks to yearly returns of 11.99% over the last five years, JENSX is an effectively diversified fund with a long reputation of solidly positive performance.
Emerald Growth Fund Institutional (FGROX - Free Report) has an expense ratio of 0.69% and management fee of 0.56%. FGROX is a Small Cap Growth mutual fund and tends to feature small companies in up-and-coming industries and markets. With yearly returns of 10.21% over the last five years, this fund is well-diversified with a long reputation of salutary performance.
Bottom Line
These examples underscore the huge range in quality of mutual funds - from the really bad to the astonishingly good. There is no reason for your advisor to keep your money in any fund that charges more than you get in return (unless they're getting something out of it, like a high commission).
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.