The key benefit that global mutual funds provide is
diversification since they invest in overseas markets while also
holding domestic equities. Thus, they make good additions to a
portfolio weighted in favor of domestic investments. The tepid
economic climate in mature markets such as Europe and the US has
led global fund managers to look for better opportunities in
emerging markets which may also imply dealing with greater
volatility However, it has been observed over the years that a
judicious combination of foreign and domestic investments
generate better returns at lower levels of risk.
Below we will share with you 5 top rated global mutual funds.
Each has earned a Zacks #1 Rank (Strong Buy) as we expect these
mutual funds to outperform their peers in the future. To view the
Zacks Rank and past performance of all global funds, investors
can click here to see the complete list of funds.
Royce Global Value
(RIVFX) invests a minimum of 40% of assets in securities of
foreign companies which are from a minimum of three different
countries. A minimum of 35% of assets is also invested in
non-convertible debt which may be either domestic or foreign in
nature. The global mutual fund returned 5.45% over the last one
The fund manager is W. George and he has managed this global
mutual fund since 2006.
Dreyfus Worldwide Growth A
(PGROX) seeks capital growth on a long term basis along with
capital preservation and current income. The fund invests a
minimum of 25% of its assets in domestic and foreign companies
each. It focuses on companies whose market cap is more than $5
billion. The global mutual fund returned 9.38% over the last one
The global mutual fund has an expense ratio of 1.22% compared
to a category average of 1.35%.
American Funds New Economy A
(ANEFX) invests in common stock issued by domestic companies with
the ability to grow in the future. The firm might also invest a
major proportion of investment in securities issued by foreign
companies. These also include developing nations. The global
mutual fund returned 29.84% over the last one year period.
As of June 2013, this global mutual fund held 195 issues, with
3.10% of its total assets invested in Gilead Sciences Inc.
Ivy Cundill Global Value A
(ICDAX) seeks capital appreciation. The fund invests in equity
securities issued by local companies in developed as well as
emerging markets. The stocks are considered undervalued compared
to their current market valuations. The global mutual fund
returned 36.63% over the last one year period.
The fund manager is Andrew Massie and has managed this global
mutual fund since 2007.
JHancock2 Technical Opportunities A
(JTCAX) invests in equity and like securities of global companies
including companies from developing and emerging countries. A
maximum of 25% is invested in a particular industry. However, it
may invest without limit in an economic sector. The global mutual
fund returned 30.89% over the last one year period.
The global mutual fund has an expense ratio of 1.88% compared
to a category average of 1.35%.
To view the Zacks Rank and past performance of all global
mutual funds, investors can click here to see the complete list
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
View All Zacks #1 Ranked Mutual Funds
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