We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
3 Mutual Fund Misfires To Avoid In Your Retirement Portfolio - February 14, 2020
Read MoreHide Full Article
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.
Hartford Quality Bond Fund C : Expense ratio: 1.56%. Management fee: 0.4%. After expenses, the 5 year return is 1.5%, meaning your fees are far higher than the fund's returns.
Oppenheimer SteelPath MLP Alph Plus I (MLPNX - Free Report) : MLPNX is classified as a Sector - Energy mutual fund. Throughout the massive global energy sector, these funds hold a wide range of quickly changing and vitally important industries. MLPNX offers an expense ratio of 2.55% and annual returns of -9.31% 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.
EP Emerging Markets SmallerCompanies A (EPASX - Free Report) - 1.75% expense ratio, 1.08% management fee. This fund has yielded yearly returns of 1.31% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Now that we've covered our "worst offender" list, let's take a look at some of Zacks' highest ranked mutual funds with some of the lowest fees you may want to consider.
Oppenheimer Discovery I (ODIIX - Free Report) : Expense ratio: 0.67%. Management fee: 0.63%. ODIIX is one of many Small Cap Growth mutual funds; these funds tend to create their portfolios around stocks with market capitalization of less than $2 billion. This fund has achieved five-year annual returns of an astounding 11.74%.
Principal Large Cap Growth I A (PLGAX - Free Report) : Expense ratio: 1%. Management fee: 0.6%. PLGAX 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. PLGAX has managed to produce a robust 10.91% over the last five years.
Janus Henderson Enterprise T (JAENX - Free Report) : Expense ratio: 0.91%. Management fee: 0.64%. JAENX is a Mid Cap Growth mutual fund. These funds aim to target companies with a market capitalization between $2 billion and $10 billion that are also expected to exhibit more extensive growth opportunities for investors than their peers. JAENX has produced a 14.32% over the last five years.
Bottom Line
Along these lines, there you have it - if your financial guide has you put your money into any of our "Mutual Fund Misfires of the Market," there is a strong likelihood that they are either dormant at the worst possible time, inept, or (in all probability) filling their pockets with high fee commissions at the cost of your financial objectives.
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.
Image: Bigstock
3 Mutual Fund Misfires To Avoid In Your Retirement Portfolio - February 14, 2020
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.
Hartford Quality Bond Fund C : Expense ratio: 1.56%. Management fee: 0.4%. After expenses, the 5 year return is 1.5%, meaning your fees are far higher than the fund's returns.
Oppenheimer SteelPath MLP Alph Plus I (MLPNX - Free Report) : MLPNX is classified as a Sector - Energy mutual fund. Throughout the massive global energy sector, these funds hold a wide range of quickly changing and vitally important industries. MLPNX offers an expense ratio of 2.55% and annual returns of -9.31% 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.
EP Emerging Markets SmallerCompanies A (EPASX - Free Report) - 1.75% expense ratio, 1.08% management fee. This fund has yielded yearly returns of 1.31% in the course of the last five years. Too bad!
3 Top Ranked Mutual Funds
Now that we've covered our "worst offender" list, let's take a look at some of Zacks' highest ranked mutual funds with some of the lowest fees you may want to consider.
Oppenheimer Discovery I (ODIIX - Free Report) : Expense ratio: 0.67%. Management fee: 0.63%. ODIIX is one of many Small Cap Growth mutual funds; these funds tend to create their portfolios around stocks with market capitalization of less than $2 billion. This fund has achieved five-year annual returns of an astounding 11.74%.
Principal Large Cap Growth I A (PLGAX - Free Report) : Expense ratio: 1%. Management fee: 0.6%. PLGAX 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. PLGAX has managed to produce a robust 10.91% over the last five years.
Janus Henderson Enterprise T (JAENX - Free Report) : Expense ratio: 0.91%. Management fee: 0.64%. JAENX is a Mid Cap Growth mutual fund. These funds aim to target companies with a market capitalization between $2 billion and $10 billion that are also expected to exhibit more extensive growth opportunities for investors than their peers. JAENX has produced a 14.32% over the last five years.
Bottom Line
Along these lines, there you have it - if your financial guide has you put your money into any of our "Mutual Fund Misfires of the Market," there is a strong likelihood that they are either dormant at the worst possible time, inept, or (in all probability) filling their pockets with high fee commissions at the cost of your financial objectives.
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.