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27th Annual Update ~ 2022
Top Mutual Funds Since 1996 |
April 25, 2022
Greetings.
This web page is my 27th annual report of top performing mutual funds. I hope it finds you and your loved ones well and happy, and that it helps you thrive. Its purpose is to take a reality check about ROI expectations, and define excellence.
Each year at the end of the first quarter, in April, I skim the cream off Morningstar's mutual fund database and share my findings. Once a fund qualifies to be on my report, I update its performance. In all detail reports, I indicate the year(s) qualified.
Last year, returns were unprecedented, phenomenal, off the charts. I asked, "Are these returns too good to be true?" We were in a bubble.
Now the bubble is deflating. Whereas last year's one year returns were as high as 233.8% (Jacob Internet, JAMFX), now the majority of the 248 funds in this year's report, 157 in the "Possible Bargain" category, had negative returns averaging -16.7%, the lowest being the Voya Russia A fund at -89.6% followed by the ProFunds Ultra China fund at -85.7%.
Normally I group my findings A, B, C, D and Y. A funds had top 1% 1, 3, 5, and 10 year returns. B funds had top 1% 1, 3, and 5 year returns. C funds had top 1% 1 and 3 year returns.
This year there were no As or Bs. Funds that had excellent long term averages are on a current downswing. There were only 7 Cs. The rest are Honorable Mentions and Possible Bargains.
But there are shining exceptions. As I slogged my way through this year's research (20 hours of work over the course of two weeks), updating these funds one by one and noticing the normal pattern of year to date and one year losses, thirty-two funds that did not lose stood out. I've isolated them in this report which is also linked in the above right margin.
Funds that did not lose and that are currently growing tended to be concentrated in certain sectors of the economy, or categories, which are listed here. Those sectors are Natural Resources, Energy, Latin America, Utilities, Precious Metals, and Industrials. Every other sector has been losing over the past year or so.
And losing lowers the price, or Net Asset Value (NAV), presenting bargain opportunities, which is why I've put 157 of the 248 funds in the "Possible Bargains" rating.
Investments rise and fall constantly. The hope is that they rise more than they fall over time; and on average, they do. The risk in buying a rising fund is performance chasing, but I've had good results with it because a rising trend tends to last 3-7 years. The risk in buying a falling fund is catching a falling knife. The opportunity is getting a bargain that can result in excellent future gains.
No one can predict the peaks or troughs; we only know them in hindsight. Be that as it may, I hope this report helps you expand your choices, narrow your risks, and prosper.
Greetings.
This web page is my 27th annual report of top performing mutual funds. I hope it finds you and your loved ones well and happy, and that it helps you thrive. Its purpose is to take a reality check about ROI expectations, and define excellence.
Each year at the end of the first quarter, in April, I skim the cream off Morningstar's mutual fund database and share my findings. Once a fund qualifies to be on my report, I update its performance. In all detail reports, I indicate the year(s) qualified.
Last year, returns were unprecedented, phenomenal, off the charts. I asked, "Are these returns too good to be true?" We were in a bubble.
Now the bubble is deflating. Whereas last year's one year returns were as high as 233.8% (Jacob Internet, JAMFX), now the majority of the 248 funds in this year's report, 157 in the "Possible Bargain" category, had negative returns averaging -16.7%, the lowest being the Voya Russia A fund at -89.6% followed by the ProFunds Ultra China fund at -85.7%.
Normally I group my findings A, B, C, D and Y. A funds had top 1% 1, 3, 5, and 10 year returns. B funds had top 1% 1, 3, and 5 year returns. C funds had top 1% 1 and 3 year returns.
This year there were no As or Bs. Funds that had excellent long term averages are on a current downswing. There were only 7 Cs. The rest are Honorable Mentions and Possible Bargains.
But there are shining exceptions. As I slogged my way through this year's research (20 hours of work over the course of two weeks), updating these funds one by one and noticing the normal pattern of year to date and one year losses, thirty-two funds that did not lose stood out. I've isolated them in this report which is also linked in the above right margin.
Funds that did not lose and that are currently growing tended to be concentrated in certain sectors of the economy, or categories, which are listed here. Those sectors are Natural Resources, Energy, Latin America, Utilities, Precious Metals, and Industrials. Every other sector has been losing over the past year or so.
And losing lowers the price, or Net Asset Value (NAV), presenting bargain opportunities, which is why I've put 157 of the 248 funds in the "Possible Bargains" rating.
Investments rise and fall constantly. The hope is that they rise more than they fall over time; and on average, they do. The risk in buying a rising fund is performance chasing, but I've had good results with it because a rising trend tends to last 3-7 years. The risk in buying a falling fund is catching a falling knife. The opportunity is getting a bargain that can result in excellent future gains.
No one can predict the peaks or troughs; we only know them in hindsight. Be that as it may, I hope this report helps you expand your choices, narrow your risks, and prosper.
