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Zacks #1 Ranked Energy Mutual Funds - Best of Funds

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With every passing year, the world's appetite for energy continues to increase steadily. Governments and corporations alike are therefore constantly on the lookout for new energy sources or more efficient technology in this domain. For fast growing economies such as China and India, the situation is even more acute. Thus, prices of these invaluable resources are surging and investors could benefit from the situation by investing in the energy industry. Energy mutual funds are a superior option for forays into the industry as they reduce risks involved by holding widely diversified portfolios.

Below we will share with you 5 top rated energy 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 energy funds, investors can click here to see the complete list of funds .

Guinness Atkinson Global Energy (GAGEX) seeks capital growth over the long run. It invests a major portion of its assets in both domestic and foreign companies of all market capitalization. These companies are involved in the production, exploration or distribution of energy, and also are involved in research and development of alternative energy sources. This non-diversified energy mutual fund has a one-year return of 24.6%. As of March 2014, this fund held 48 issues with 3.85% of its assets invested in Canadian Natural Resources Ltd.

Integrity Williston Basin/Mid-North America Stock A (ICPAX) invests a lion's share of its assets in US and non-US companies which gain benefits from resource developments in the Williston Basin area and/or Mid-North America area. It may also invest in development stage companies. The fund seeks long term capital growth. This energy mutual fund has a one-year return of 26.3%.

This fund has an expense ratio of 1.41% as compared to category average of 1.46%.

ProFunds UltraSector Oil & Gas Investor (ENPIX) seeks daily return equivalent to one and one-half times of daily return performance of the Dow Jones U.S. Oil & Gas Index. It invests in those securities that are believed to return 1.5 times of the index's return. This non-diversified energy mutual fund has a one year return of 24.2%.

Michael Neches is the fund manager and has managed this fund since 2013.

Fidelity Select Natural Gas Portfolio (FSNGX) invests largely in companies whose primary operations are related to production, distribution and exploration of natural gas. It invests in common stocks of both U.S. and non U.S. companies. The fund seeks long term capital growth. This non-diversified energy mutual fund has a one year return of 24.1%.

This fund has an expense ratio of 0.84% as compared to category average of 1.46%.

Invesco Energy Investor (FSTEX) seeks long term capital growth. It invests a major portion of its assets in energy-related industries. It invests mostly in equity securities; the major type is common stock. This energy mutual fund has a one-year return of 18.8%.

As of March 2014, this fund held 39 issues with 5.16% of its assets invested in Occidental Petroleum Corp.

To view the Zacks Rank and past performance of all energy mutual funds, investors 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 in our Mutual Fund Center .

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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