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.
Does Your Retirement Portfolio Hold These 3 Mutual Fund Misfires? - March 30, 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.
Brookfield Global Listed Infrastructure C (BGLCX - Free Report) : 2.1% expense ratio and 0.85% management fee. BGLCX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. With a five year after-expenses return of 1.91%, you're mostly paying more in fees than returns.
AQR Style Premia Alternative N (QSPNX - Free Report) : 1.75% expense ratio, 1.35%. QSPNX is a Long Short - Equity option. These funds' investment strategy consists of minimizing overall market exposure, while at the same time taking long positions in equities that are expected to appreciate and short positions in equities that are projected to decline. This fund has yearly returns of -0.74% over the most recent five years. Another fund liable of having investors pay more in charges than what they receive in return.
EP Emerging Markets SmallerCompanies A (EPASX - Free Report) : This fund has an expense ratio of 1.75% and management fee of 1.08%. EPASX is a Pacific Rim - Equity mutual fund; these funds typically invest in companies throughout the dominant export-focused markets of Hong Kong, Singapore, Taiwan, and Korea. With an annual average return of 1.31% over the last five years, the only thing absolute about this absolute return fund is that it absolutely deserves to be on our "worst offender" list.
3 Top Ranked Mutual Funds
Since you've seen the most noticeably lowest Zacks Ranked mutual funds, how about we take a look at some of the top ranked mutual funds with the least fees.
City Natural Rochdale US Core Equity & Income Institutional (CNRUX - Free Report) : Expense ratio: 0.52%. Management fee: 0.4%. CNRUX 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. This fund has achieved five-year annual returns of an astounding 12.55%.
RBC Global Opportunities I (RGOIX - Free Report) has an expense ratio of 0.86% and management fee of 0.76%. RGOIX is a Global - Equity mutual fund. These funds invest in large markets like the U.S., Europe, and Japan, and operate with very few geographical limitations. With annual returns of 12.14% over the last five years, this is a well-diversified fund with a long track record of success.
Meridian Growth Investor (MRIGX - Free Report) has an expense ratio of 0.87% and management fee of 0.76%. MRIGX 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. With yearly returns of 10.35% 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.
Image: Bigstock
Does Your Retirement Portfolio Hold These 3 Mutual Fund Misfires? - March 30, 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.
Brookfield Global Listed Infrastructure C (BGLCX - Free Report) : 2.1% expense ratio and 0.85% management fee. BGLCX is a Global - Equity mutual fund, which invests their assets in large markets, leveraging the global economy. With a five year after-expenses return of 1.91%, you're mostly paying more in fees than returns.
AQR Style Premia Alternative N (QSPNX - Free Report) : 1.75% expense ratio, 1.35%. QSPNX is a Long Short - Equity option. These funds' investment strategy consists of minimizing overall market exposure, while at the same time taking long positions in equities that are expected to appreciate and short positions in equities that are projected to decline. This fund has yearly returns of -0.74% over the most recent five years. Another fund liable of having investors pay more in charges than what they receive in return.
EP Emerging Markets SmallerCompanies A (EPASX - Free Report) : This fund has an expense ratio of 1.75% and management fee of 1.08%. EPASX is a Pacific Rim - Equity mutual fund; these funds typically invest in companies throughout the dominant export-focused markets of Hong Kong, Singapore, Taiwan, and Korea. With an annual average return of 1.31% over the last five years, the only thing absolute about this absolute return fund is that it absolutely deserves to be on our "worst offender" list.
3 Top Ranked Mutual Funds
Since you've seen the most noticeably lowest Zacks Ranked mutual funds, how about we take a look at some of the top ranked mutual funds with the least fees.
City Natural Rochdale US Core Equity & Income Institutional (CNRUX - Free Report) : Expense ratio: 0.52%. Management fee: 0.4%. CNRUX 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. This fund has achieved five-year annual returns of an astounding 12.55%.
RBC Global Opportunities I (RGOIX - Free Report) has an expense ratio of 0.86% and management fee of 0.76%. RGOIX is a Global - Equity mutual fund. These funds invest in large markets like the U.S., Europe, and Japan, and operate with very few geographical limitations. With annual returns of 12.14% over the last five years, this is a well-diversified fund with a long track record of success.
Meridian Growth Investor (MRIGX - Free Report) has an expense ratio of 0.87% and management fee of 0.76%. MRIGX 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. With yearly returns of 10.35% 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.