The large number of mutual funds has little to do with serving investors’ best interests. Here are three red flags investors can use to avoid the worst mutual funds:
The All Cap Blend style ranks out of third the 12 styles as detailed in the 1Q15 Style Ratings report and receives our Neutral rating. The All Cap Blend style as a whole performed with the Russell 3000 in 2014, increasing 11% to the Russell’s 11%.
Picking from the multitude of style mutual funds is a daunting task. In any given style there may be as many as 942 different mutual funds, and there are at least 6,095 mutual funds across all styles.
The All Cap Blend style ranks second out of the twelve fund styles as detailed in my Style Rankings for ETFs and Mutual Funds report. It gets my Neutral rating, which is based on aggregation of ratings of 38 ETFs and 738 mutual funds in the All Cap Blend style as of January 24, 2014.