What makes a great mutual fund family? A great mutual fund family is all about quality fund offerings, because it should always be quality over quantity. Low expenses and top ranked performance also plays a huge role in becoming a top mutual fund family. Tonight we will take a look at a few of the top mutual fund families and examine what makes each of them so good. I will also include a couple of the highest rated funds from each of these top mutual fund families. Factors involved in the rating of t
he mutual fund families are 1. performance 2. Loaded or non-loaded funds 3. Average expense ratios
1. T Rowe Price- This company prides itself in having mutual funds that are not loaded and have a low expense ratio. Much of the stockpicking at this family comes from finding stocks that are selling at a reasonable price as compared to their growth rate.
Top fund offerings- (PRWCX), (PRGFX)
2. The Vanguard Group- Vanguard Group founder John Bogle is well-known for pioneering the low-cost index fund. Vanguard has made it a clear company policy to keep its mutual funds very cost efficient for investors. Vanguard likely would have been #1 on the list if it weren't for the company having so many index funds, which simply track the market, so outperformance of the market is impossible. The company offers a terrific line of products and investors should feel safe with their funds.
Top Fund Offerings- (VCLVX), (VHGEX)
3. Dodge and Cox- This San Francisco based mutual fund company is all about quality, not quantity. The company offers only four mutual funds, but they are great ones. All of their funds have had terrific performance and have management with extensive experience. There are no loads associated with any of the funds and the expenses are very reasonable.
Top Fund offerings- (DODGX), (DODFX)
4. The Oakmark Funds- The Chicago based Oakmark Funds are well-known for their value based roots. Most of the companies offerings are at least somewhat rooted in value stocks. The expense ratios here are very fair, and there never any loads. Oakmark has seen some down times lately in its top funds, but the company will be back.
Top fund offerings (OAKBX), (OAKGX)
5. Fidelity Investments- Fidelity is a huge mutual fund company, who has a ton of great mutual funds. The reason they only come in ranked #5 is they have some higher expensed funds than do the families ranked higher. Some of Fidelity's most popular funds have gotten too big and it has hurt their performance of late. This is still a very trustworthy company worth investing your money in.
Top fund offerings- (FLVCX), (FFTYX)
These five mutual fund companies all have proven to be the best of the best. In order to keep their position there they will have to keep performing well and stay cost efficient for the investor. More mutual fund companies are starting up all the time, and the best mutual fund families have to work that much harder to stay at the top!
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