By creating a diversified portfolio of both stocks and bonds,
balanced funds ensure that they harness the inherent strengths of
both classes of instruments. Most of the competently managed funds
in this category keep the proportion of assets invested in
different asset classes flexible and make adjustments in keeping
with prevailing market conditions. This ensures that fixed-income
securities protect the portfolio from losses during a downturn
while equity securities harness maximum gains from a rising
market.
Below we will share with you 5 top rated balanced mutual funds.
Each has earned a
Zacks #1
Rank
(Strong Buy) as we expect the fund to outperform its peers in the
future. To view the Zacks Rank and past performance of all
balanced funds, investors can
click here to see the complete list of funds
.
Villere Balanced
(
VILLX
) seeks capital appreciation over the long term. The fund purchases
domestic common stocks as well as fixed income securities of high
quality. These common stocks must have been issued by companies
with market capitalizations of $150 million or more. The balanced
mutual fund has a three year annualized return of 20.58%.
The balanced mutual fund has a minimum initial investment of
$2,000 and an expense ratio of 1.11% compared to a category average
of 0.99%.
Virtus Balanced A
(
PHBLX
) utilizes at least 65% of its assets to purchase domestic and
foreign common stocks and fixed income securities. The fund invests
in companies regardless of their size and purchases emerging market
securities. The dollar weighted average maturity period of its
portfolio varies between two to eight years. The balanced mutual
fund has a three year annualized return of 11.06%.
The Fund Manager is Kaushik Saha and he has managed this
balanced mutual fund since 2009.
American Century Balanced
(
TWBIX
) seeks both capital growth and current income. Around 60% of the
fund's assets are utilized to purchase equity securities and the
balance is used to acquire fixed income instruments. The balanced
mutual fund has a three year annualized return of 11.88%.
As of March 2012, this balanced mutual fund held 660 issues,
with 2.16% of its total assets invested in Apple, Inc.
Ivy Balanced A
(
IBNAX
) invests in a diversified portfolio of equity, debt and short term
instruments, the composition of which depends on current market
conditions. The fund focuses on investing in large and mid-cap
companies which pay regular dividends. A minimum of 25% of its
assets is utilized to purchase fixed-income securities. The
balanced mutual fund has a three year annualized return of
12.49%.
The balanced mutual fund has a minimum initial investment of
$500 and an expense ratio of 1.23% compared to a category average
of 0.94%.
MEMBERS Diversified Income A
(
MBLAX
) seeks both income and capital growth. The fund purchases a wide
range of securities such as common stocks, real estate securities,
domestic and foreign bonds, foreign stocks and money market
securities. The balanced mutual fund has a three year annualized
return of 10.26%.
The Fund Manager is John H. Brown and he has managed this
balanced mutual fund since 1998.
To view the Zacks Rank and past performance of all balanced
mutual funds, investors can
click here to see the complete list of funds
.
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find
funds that not only outpaced the market in the past but are also
expected to outperform going forward. Learn more about the Zacks
Mutual Fund Rank at
http://www.zacks.com/funds.
View All Zacks #1 Ranked Mutual Funds
(IBNAX): ETF Research Reports
(MBLAX): ETF Research Reports
(PHBLX): ETF Research Reports
(TWBIX): ETF Research Reports
(VILLX): ETF Research Reports
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