If you’ve been stuck searching for Mutual Fund Equity Report funds, consider Delaware Small Cap Value I (DEVIX) as a possibility. DEVIX possesses a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Delaware Investments is based in Philadelphia, PA, and is the manager of DEVIX. Since Delaware Small Cap Value I made its debut in June of 1987, DEVIX has garnered more than $3.75 billion in assets. The fund is currently managed by a team of investment professionals.
Investors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 6.56%, and it sits in the middle third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 8.55%, which places it in the middle third during this time-frame.
When looking at a fund’s performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. DEVIX’s standard deviation over the past three years is 25.77% compared to the category average of 16.84%. Over the past 5 years, the standard deviation of the fund is 22.7% compared to the category average of 14.88%. This makes the fund more volatile than its peers over the past half-decade.
Investors should note that the fund has a 5-year beta of 1.18, so it is likely going to be more volatile than the market at large. Because alpha represents a portfolio’s performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. DEVIX’s 5-year performance has produced a negative alpha of -7.31, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Examining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is principally on equities that are traded in the United States.
The mutual fund currently has 76.79% of its holdings in stocks, which have an average market capitalization of $6.24 billion. The fund has the heaviest exposure to the following market sectors:
With turnover at about 14%, this fund is making fewer trades than its comparable peers.
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, DEVIX is a no load fund. It has an expense ratio of 0.86% compared to the category average of 1.21%. DEVIX is actually cheaper than its peers when you consider factors like cost.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.
Overall, Delaware Small Cap Value I ( DEVIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, worse downside risk, and lower fees, Delaware Small Cap Value I ( DEVIX ) looks like a great potential choice for investors right now.
Don’t stop here for your research on Mutual Fund Equity Report funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare DEVIX to its peers as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.
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