Investors can no longer ignore the attractions of global equity markets and limit themselves to domestic investments. Though U.S equity markets retain their global significance, they no longer command the importance which they did in the past. Research has also shown that a prudent combination of foreign and domestic investments provide better results and aid in reducing risk. With the advantage of professional management, global mutual funds provide investors with a unique opportunity to harness the strengths of both local and international financial markets.
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.
Artio Global Equity A (BJGQX) invests the majority of its assets in companies worldwide. Under normal circumstances, not less than 40% of its assets are invested in at least three foreign countries. A maximum of 35% of its assets may be utilized to purchase emerging market securities. The global mutual fund has a five year annualized return of 3.12%.
The global mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.46% compared to a category average of 1.47%.
Forward Global Infrastructure A (KGIAX) seeks both capital growth and current income. The fund invests heavily in domestic and foreign infrastructure companies. Not more than 40% of its assets may be utilized to purchase foreign securities. The global mutual fund returned 38.06% in the last one year period.
The fund manager is Ian S. Goltra and he has managed this global mutual fund since 2010.
Templeton Growth A (TEPLX) invests in companies worldwide, including in those from emerging markets. The fund focuses on acquiring common stocks and may invest relatively more of its assets in a small number of countries. The global mutual fund has a ten year annualized return of 4.99%.
The global mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.10% compared to a category average of 1.47%.
Thornburg Global Opportunities A (THOAX) seeks capital growth over the long term. The fund invests in a wide range of equity securities worldwide. This includes common and preferred stocks, real estate investment trusts and other equity trusts. The fund may also invest in smaller firms with market capitalizations below $500 million. The global mutual fund returned 29.65% over the last one year period.
As of April 2011, this global mutual fund held 31 issues, with 5.14% of its total assets invested in BRF – Brasil Foods SA.
Putnam Global Equity A (PEQUX) invests the majority of its assets in equity securities of companies across the world. The fund focuses on acquiring common stocks of large and mid-cap companies. The global mutual fund has a ten year annualized return of 2.83%.
Shigeki Makino is the fund manager and he has managed this global mutual fund since 2002.
To view the Zacks Rank and past performance of all global mutual funds, then click here.
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.