Your Questions About Mutual Funds Ratings

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Your Questions About Mutual Funds Ratings

  1. 1. Your Questions About Mutual Funds RatingsDavid asks…please give the sites where I can find ratings related to MUTUALFUNDS?Steve Winston answers:THE BEST site I know of is http://themutualfundstore.comAND Mr. Adam Bold has a nationally syndicated, call-in radio program.Thanks for asking your Q! I enjoyed answering it!VTY,Ron BerueYes, that is my real last name! 1/6
  2. 2. James asks…How seriously should we take ratings of mutual funds given byvarious websites?While planning for investment in mutual funds, I often look what return and risk category thefund falls into as stated by various websites. I also see what "star" category the fund falls into. Isthis method correct? Do all the websites evaluate funds in the same way?In some cases I find many funds are of five star category but some are rated as superior/eliteetc and others are not rated at all. Why is it so? Also, when I find any fund I have invested, getspoorer category class, is it time to stop investing in that fund and switch over to some betterone? Or should I wait to see its performance for a little while? after all behavior of equity fundsare to be judged over long time interval.Steve Winston answers:I also used star rating of icicidirect and money control as ref. For investment.I also checked their top holdings.I checked their past performance for more than five years in SIP and also in point to pointinvestment.I also checked fund managers profile. Fund house is also important.I believe in investing through SIP only with more than five years investment horizon.There are some other methods to evaluate funds but that is beyond my scope of knowledge 2/6
  3. 3. presently.Laura asks…How to Pick Mutual Funds on MorningStar?Someone recommended MorningStar site as a place to check for best-rated funds, but it seemslike I have to subscribe to their site to be able to view that information. Is that correct or am Imjust missing it somehow. How do you go about picking your funds? Are there any good onlinesites that you rely upon? I saw one called wikiwealth, but what confuses me is that differentsites have different opinions / ratings on the same fund. Thanks!Steve Winston answers:Look at the returns, how the fund performed compared to its index, expense ratio, the starrating, etc.Each site has their own analyst & rating criteria. So its not likely they will agree. There are manysites where you can get mutual fund ratings: MSN, Yahoo, CnnMoney, as well as morningstar. 3/6
  4. 4. I am a morningstar premium member, so I get access to all their fund information. Agreed, theydont give out as much FREE INFO as they used to. But you can also get some pretty goodanalysis from the other sites. Just might take a little more digging.Lizzie asks…Mutual Funds and dividend yield?When reading ratings of stock mutual funds in Forbes or Kiplingers magazine, why is it acolum is never entered for certain funds for dividend yield?The mutual fund types in particular Im asking about are say equity income, balanced fundswhere a good portion is put into bonds and say a sector fund of large bank stocks. Especiallynow in the bank area where they have tumbled. If a bank still pays same dividend and the pricehas gone south a lot, the dividend yield would rise a great deal. So , why do these magazinesnot have a of dividend yield for Certain funds?Steve Winston answers:For mutual funds, the thing you need to look at is Total Return, not "dividend yield." Mutual 4/6
  5. 5. funds make periodic dividend/capital gains distributions, but it does not work like individualstocks or bonds.Thomas asks…Is there an ETF or mutual fund based on Morningstars starratings?Morningstar also maintains a star rating of individual stocks.Steve Winston answers:There are at least eight ETFs based on Morningstar ratings. These includeJKI,JKL,JKJ,JKF,JKD,JKG,JKK and JKE. Each is based on a different segment of the market,such as small cap, growth, etc. Just type in the symbol in yahoo finance, and then click profile tosee what the ETF tracks. 5/6
  6. 6. Powered by Yahoo! Answers Read More… Your Questions About Mutual Funds Ratings 6/6Powered by TCPDF (www.tcpdf.org)

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