MutualFunds.com provides weekly information about any material impact on the mutual funds industry due to major economic and corporate events around the world. In addition, performance statistics on the top funds and fund categories are also provided.
- U.S. markets were all negative this week, with the Dow Jones Industrial Average falling 0.44% this week to 20,805.
- The best-performing fund so far for 2017 is Wasatch Emerging India Institutional (WIINX).
- Europe equities is the best-performing rolling-one-month mutual fund subcategory.
- Make sure to check out the previous edition of the Weekly Roundup to keep track of changing trends.
U.S. Equities – U.S. equity markets were down across the board. The Dow Jones Industrial Average decreased by 0.44% to 20,805, but it is still up 5.27% year-to-date. The S&P 500 decreased 0.38% for the week, closing at 2,382. Among the major indices, the NASDAQ Composite Index was this week’s worst performer, down 0.61% for the week to 6,084. However, the NASDAQ is still the best-performing index and is up 13.01%. Most of this week’s poor performance was due to the 372 point decline of the Dow Jones on Wednesday, the biggest one-day pullback of the year.
The real estate sector was this week’s top-performing area, up 1.23%. The sector is up slightly 2.92% on a year-to-date basis. This is led by companies like American Tower Corp. (AMT), which is up over 21% on a YTD basis.
Explore our Mutual Fund Education section to learn more about important mutual fund concepts.
International Equities – International equities were a mixed bag this week. The MSCI Developed Index had an increase of 1.02%, while the MSCI Emerging Index had a decline of 0.63% for the week. Japan’s NIKKEI 225 broke its four-week positive trend and declined 1.47% to close at 19,591.
Commodities – The commodity sector showed gains this week, with crude oil increasing $2.49 per barrel and closing at $50.33 per barrel. The price of gold increased $27 per troy ounce to close at $1,253. Copper was also up $0.06 for the week to close at $2.58.
Be sure to read our important tips on how to invest in the right commodity-based mutual fund.
Taxable Bonds – Treasury yields dropped except for the 2-year. The 2-year Treasury yield remained flat, while the 10-year saw a decrease of 8 bps. The 30-year showed the largest decline by 9 bps.
Municipal Bonds – Municipals had a decline across all maturities. The 2-year AAA-rated bonds dropped 5 bps, the 10-year AAA-rated bonds dropped 10 bps and the 30-year AAA-rated bonds dropped 11 bps. Municipal bond funds also continued into the sixth week of net positive fund flows with over $327 million of inflows. The largest credit spread among Treasury and Muni bonds widened to 47 bps for the 5-year securities.
Performance Snapshot: Top Fund Category
The following table provides a list of the top-performing mutual fund subcategories for the previous week within the broader categories of the industry. In each of these subcategories, we have listed the top mutual funds based on the 1-month return generated as of May 19, 2017.
|Category||Top Subcategory||1-Month Subcategory Return (%)||Top Subcategory Performer||Ticker||MTD Fund Return (%)||Performance Rationale|
U.S. Equity Fund
|Large Cap Growth||3.70%||Zevenbergen Genea Institutional||ZVGIX||10.68%||The fund's largest holding is Amazon, Inc. (AMZN), which is up over 29% on a YTD basis.|
|Europe Equities||8.45%||Voya Euro STOXX 50® Index Port I||IDJIX||11.32%||The fund invests in European-based companies, like those invested in the Euro STOXX 50 Index that is up over 18% year-to-date.|
|Broad Basket||-0.30%||Victory CEMP Cmdty Vol Wtd Idx Strat C||CCOCX||0.83%||With commodities falling again this week, this fund was protected by being invested in 44% cash and 41% bonds as a hedge.|
|High Yield Bond||1.09%||DDJ Opportunistic High Yield Instl||DDJIX||1.91%||With bond yields falling, high yield is still the most attractive for bond buyers.|
|High Yield Municipal Bonds||0.49%||Nuveen High Yield Municipal Bond I||NHMRX||1.00%||With yields declining, high-yield muni bond funds continue to attract investor interest.|
Performance Snapshot: Top Fund
This fund’s largest holding is in MakeMyTrip Limited (MMYT), which is up more than 59% YTD.
Top 5 Performers
The following table provides the top-performing mutual funds on a YTD basis as of May 19, 2017. Only those funds that are rated five stars by Morningstar and that generated YTD returns greater than equal to that achieved by the S&P 500 are included.
|Top-Performing Fund||Ticker||Category||YTD Return (%)||Net Expense Ratio (%)||% of Assets in Top 10 Holdings||Net Assets $ (Millions)||Top Sector Invested|
|Wasatch Emerging India Institutional||WIINX||India Equities||29.33%||2.00%||35.00%||$154||Financial Services|
|Morgan Stanley Inst International Opp I||MIOIX||Foreign Large Cap Growth Equities||27.60%||1.34%||49.30%||$138||Technology|
|T. Rowe Price Global Technology||PRGTX||Global Equities||27.00%||0.90%||54.60%||$4,370||Technology|
|Morgan Stanley Inst Growth IS||MGRPX||Large Cap Growth Equities||25.99%||0.54%||56.90%||$3,510||Technology|
|Morgan Stanley Inst Global Opp I||MGGIX||Global Equities||25.69%||1.07%||53.50%||$925||Technology|
We provide this report on a weekly basis. To stay up to date with mutual fund market events, return to our News section.