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. equities were all up again for the fifth week in a row, with the Dow Jones Industrial Average, S&P 500 and NASDAQ Composite hitting all-time highs again.
- The best-performing fund so far for 2017 continues to be the Neuberger Berman Greater China Eq Instl (NCEIX).
- India stock is the best-performing mutual funds subcategory based on the rolling month.
- Make sure to check out the previous edition of the Weekly Roundup to keep track of changing trends in the mutual funds space.
U.S. Equities – U.S. equity markets all continued to gain this week for the fifth week in a row, as the Dow Jones Industrial Average increased 0.45% to close at an all-time high of 23,434. The S&P 500 also had an increase of 0.23% for the week, closing at a new high of 2,581. The NASDAQ Composite Index was also up 1.09%, to close at a new high of 6,701. The NASDAQ is the best-performing major U.S. index on a year-to-date basis, up 24.49%.
The information technology sector was this week’s top-performing sector, up 2.87%. The technology sector consists of companies like Apple Inc. (NASDAQ:AAPL) and Microsoft Corporation (NASDAQ:MSFT), which were up 6.75% and 6.45%, respectively, over the last week.
Explore our Mutual Funds Education section to learn more about important mutual funds concepts.
International Equities – International markets were down for the week, with the exception of the Nikkei. The MSCI Developed Index fell 0.34% to close at 1,991 and is up 21.57% on a year-to-date basis. The MSCI Emerging Index had a decrease of 0.84% for the week and remains the best-performing index on a year-to-date basis, up 31.57%. Japan’s Nikkei 225 had its seventh week of gains in a row, up 2.57%, to close at 22,008.
Commodities – The commodity sector was mostly down this week except for crude oil, which saw a gain $2.43 per barrel and closed at $53.90 per barrel. The price of gold decreased $9 per troy ounce, to close at $1,269. Copper also saw a decrease of $0.06, to close at $3.10.
Be sure to read important tips on how to invest in the right commodity-based mutual fund.
Taxable Bonds – Treasury yields saw a modest uptick this week, with the 2-year Treasury increasing 1 bps to yield 1.59%. The 10-year Treasury yield increased 2 bps, while the 30-year Treasury yield increased 3 bps to 2.92%.
Municipal Bonds – Municipal yields saw large gains across all maturities this week with the 2-year AAA-rated bonds increasing 5 bps to yield 1.09%. The 10-year AAA-rated bonds increased 7 bps, while the 30-year AAA-rated bonds increased 9 bps and now yield 2.90%. Municipal bond funds saw a second week of inflows, increasing $111 million in assets. The largest credit spread for the five-year securities decreased by 6 bps to settle at 58 bps for the week.
Performance Snapshot: Top Fund Category
The following table provides a list of the top-performing mutual funds 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 one-month return generated as of October 27, 2017.
|Category||Top Subcategory||1-Month Subcategory Return (%) *||Top Subcategory Performer||Ticker||1-Month Fund Return (%)||Performance Rationale|
U.S. Equity Fund
|Large Growth||3.64%||Quantified STF Investor||QSTFX||9.33%||The fund was invested in 2x the NASDAQ index, which was up big for the week.|
|India Stock||7.46%||Eaton Vance Greater India A||ETGIX||6.41%||The largest holding is Maruti Suzuki India Ltd (BOM:532500), which is up over 3.5% for the trailing month.|
|Broad Basket||1.70%||DoubleLine Strategic Commodity N||DLCMX||5.18%||With oil up this week, this fund was invested in 26% oil.|
|Bank Loan||0.60%||Catalyst/Princeton Floating Rt Inc A||CFRAX||1.16%||With bond prices falling again this week, floating rate funds were the least affected.|
|Muni California Long||0.09%||Nuveen CA High Yield Municipal Bond C2||NCHCX||0.59%||With muni bond yields gaining this week, high yield bonds had the largest gains.|
Performance Snapshot: Top Fund
Neuberger Berman Greater China Eq Instl (NCEIX)
The fund’s largest holding is in Tencent Holdings Ltd (HKG:0700), which is up over 84% on a year-to-date basis.
The following table provides the top-performing mutual funds on a YTD basis as of October 27, 2017. Only those funds that are rated five stars by Morningstar and that generated YTD returns greater than or equal to that achieved by the S&P 500 are included.
|Name||Ticker||Category||YTD %||Net Expense Ratio||% of Assets in Top 10 Holdings||Total Assets $ (Millions)||Top Sector Invested|
Neuberger Berman Greater China Eq Instl
|NCEIX||China Equities||57.90%||1.76%||51.80%||$134||Financial Services|
Morgan Stanley Inst International Opp IS
|MNOPX||Foreign Large Cap Growth Equities||47.12%||5.64%||46.60%||$423||Consumer Defense|
T. Rowe Price Global Technology Fund I Class
Matthews China Small Companies
Baillie Gifford EAFE 5
|BGEVX||Technology Equities||44.11%||0.46%||43.20%||$2,880||Consumer Cyclical|
We provide this report on a weekly basis. To stay up to date with mutual fund market events, return to our News section.