The Daily Screen Top LargeCap Value Funds With Tenured Skippers
Post on: 16 Март, 2015 No Comment
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To look for solid big-cap value funds, we’ve sifted the 326-fund category for those that beat their average peer this year and over the past five years with the same manager at the helm, according to Morningstar. Here’s a top-10 list of the funds we dug up, ranked by their returns since Jan. 1.
Source: Morningstar. Annualized performance figures through Dec. 11.
Given the beating tech stocks have taken this year, you’re probably not surprised that many of these funds have modest or no exposure to the tech sector. We screened our leading funds’ portfolios to see what stocks they’re betting on, but first let’s look at the funds themselves.
At the top of the list you’ll find two solid options. High-profile manager David Dreman focuses on unloved stocks in sectors like financials and consumer staples with the broker-sold (KDHAX ) Kemper-Dreman High Return fund. At the end of June, the date of the latest portfolio data available for the fund on Morningstar, the fund owned no tech stocks at all. This measured approach might not make your pulse race, but the fund’s 20.3% annualized return over the past 10 years beats the S&P 500 by more than 2% and beats 98% of the fund’s peers.
In running the no-load (CFIMX ) Clipper fund, co-managers James Gipson and Michael Sandler only buy stocks when they think they’re selling at 30% less than their private market value. That strategy led to a financial stock position topping 44% on Sept. 30 and a solid track record. Over the past one-, three-, five- and 10-year periods, the fund beats the S&P 500 and more than 90% of its peers.
Other no-load standouts on our list are the (SAOPX ) Salomon Brothers Opportunity fund, where Irving Brilliant has held the reins for more than 20 years, and the (VWNFX ) Vanguard Windsor II fund, where Jim Barrow has been the lead manager for 10 years.
The Salomon fund has minuscule turnover and a whopping 61% stake in financial stocks, while the Vanguard fund is a more vanilla value fund with a big portfolio and less severe sector weightings.
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If you work with a broker, a solid choice might be the (SHFVX ) Smith Barney Fundamental Value fund where John Goode has been in charge for 10 years. The fund has a significant 16.2% tech stake, but it still beats the S&P 500 and more than 90% of its peers over the past one-, three-, five- and 10-year periods, according to Morningstar.
Value funds are known for putting a lot of money in financial stocks and this list fits that bill. Screening the portfolios of these leading funds, we find a cumulative top-10 list with eight financial stocks. As you might expect, powerhouse Citigroup (C ) is on the list, but Fannie Mae (FNM ) and Freddie Mac (FRE ) lead the pack.
Under the Hood
The stocks with the biggest weighting in the combined portfolios of the 10 above funds