The decline, however, was short-lived. In March, a sudden reversal marked the beginning of a tech resurgence as evidenced by the performance of the Vanguard Information Technology Index Fund (VITAX). In February, the fund traded as low as $48.07 but has since risen to its current price of around $56.37 – a staggering 17% increase in just two months’ time. From oversold to being in high demand – the tech sector still offers prime opportunities for growth-oriented investors.
Mutual Funds for the Technology Sector
T. Rowe Price Global Technology Fund
- Year-to-Date Returns: -1%
- 10-Year Average Annual Return: 13.25%
- Expense Ratio: 0.91%
Objective: This innovative technology fund doesn’t just pick large-cap, blue-chip funds for its investors. Rather, it selects stocks based on a thorough screening process that attempts to identify leading technology companies for growth with a healthy underlying business. It generally invests in no fewer than five countries with at least 25% of its portfolio in non-U.S. companies.
Fidelity Select IT Services Portfolio
- Year-to-Date Returns: 2.35%
- 10-Year Average Annual Return: 13%
- Expense Ratio: 0.81%
Objective: This fund consistently finds itself rated among the top-performing funds with some of the highest ratings in the industry. It keeps the majority of its assets in the U.S. with around 12% invested overseas and contains some of the biggest and most-recognized names in the technology space.
The Bottom Line
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