On the lookout for a Mutual Fund Equity Report fund? Starting with PRIMECAP Odyssey Growth Fund (POGRX) should not be a possibility at this time. POGRX bears a Zacks Mutual Fund Rank of 4 (Sell), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Primecap Odyssey is responsible for POGRX, and the company is based out of Pasadena, CA. PRIMECAP Odyssey Growth Fund made its debut in November of 2004, and since then, POGRX has accumulated about $7.08 billion in assets, per the most up-to-date date available. A team of investment professionals is the fund’s current manager.
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 8.77%, and it sits in the bottom third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 6.83%, which places it in the bottom third during this time-frame.
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. Over the past three years, POGRX’s standard deviation comes in at 19.47%, compared to the category average of 21.35%. Looking at the past 5 years, the fund’s standard deviation is 19.35% compared to the category average of 19.34%. This makes the fund more volatile than its peers over the past half-decade.
Investors should not forget about beta, an important way to measure a mutual fund’s risk compared to the market as a whole. POGRX has a 5-year beta of 1.03, which means it is likely to be as volatile as the market average. Because alpha represents a portfolio’s performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. With a negative alpha of -2.22, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is mostly on equities that are traded in the United States.
As of the last filing date, the mutual fund has 91.12% of its assets in stocks, which have an average market capitalization of $243.69 billion. The fund has the heaviest exposure to the following market sectors:
Turnover is about 7%, so those in charge of the fund make fewer trades than the average comparable fund.
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, POGRX is a no load fund. It has an expense ratio of 0.65% compared to the category average of 0.99%. From a cost perspective, POGRX is actually cheaper than its peers.
While the minimum initial investment for the product is $2,000, investors should also note that each subsequent investment needs to be at least $100.
Overall, PRIMECAP Odyssey Growth Fund ( POGRX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively weak performance, average downside risk, and lower fees, this fund looks like a somewhat weak choice for investors right now.
Don’t stop here for your research on Mutual Fund Equity Report funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare POGRX to its peers as well for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.
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