Any investors hoping to find a Large Cap Growth fund might consider looking past Invesco American Franchise A (VAFAX). VAFAX holds a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.

Bạn đang xem: Is Invesco American Franchise A (VAFAX) a Strong Mutual Fund Pick Right Now?

VAFAX is part of the Large Cap Growth section, and this segment boasts an array of other possible options. Large Cap Growth mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. Companies are usually considered to be large-cap if their market capitalization is over $10 billion.

Invesco is based in Kansas City, MO, and is the manager of VAFAX. Since Invesco American Franchise A made its debut in June of 2005, VAFAX has garnered more than $16.10 billion in assets. The fund’s current manager, Ido Cohen, has been in charge of the fund since June of 2010.

Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund in particular has delivered a 5-year annualized total return of 16.67%, and it sits in the middle third among its category peers. If you’re interested in shorter time frames, do not dismiss looking at the fund’s 3 -year annualized total return of 9.26%, which places it in the middle third during this time-frame.

It is important to note that the product’s returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund’s [%] sale charge. If sales charges were included, total returns would have been lower.

Xem thêm : Year-ender 2024: Top 9 large and midcap mutual funds deliver over 30% returns in 2024

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. VAFAX’s standard deviation over the past three years is 20.42% compared to the category average of 15.28%. Looking at the past 5 years, the fund’s standard deviation is 20.57% compared to the category average of 16.14%. This makes the fund more volatile than its peers over the past half-decade.

The fund has a 5-year beta of 1.06, so investors should note that it is hypothetically more volatile than the market at large. Another factor to consider is alpha, as it reflects a portfolio’s performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. With a positive alpha of 0.39, managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.

Story Continues