5 Best Performing Healthcare Mutual Funds Year to Date

Zacks

When markets are passing through choppy waters, investors often rely on the healthcare sector to safeguard their investments. This is because the demand for healthcare services does not vary with market conditions, making them a safe haven during difficult times. Many pharmaceutical companies also generate regular dividends, which go a long way in softening the blow dealt by plummeting share prices. Mutual funds are the perfect choice for investors looking to enter this sector since they possess the advantages of wide diversification and analytical insight.

Below we will share with you the 5 best performing healthcare mutual funds year to date. To view the Zacks Rank and past performance of all healthcare funds, investors can click here to see the complete list of funds.

Mutual Fund

Zacks Rank

Total Return YTD

ProFunds Biotechnology UltraSector

#4 Sell

45.57%

ProFunds UltraSector Health Care

#4 Sell

30.37%

Franklin Biotechnology Discovery A

#2 Buy

30.10%

Fidelity Select Biotechnology

#2 Buy

28.92%

Delaware Healthcare A

#3 Hold

27.83%

 

 

 ProFunds Biotechnology UltraSector (BIPSX) seeks daily returns which are 150% of the daily return of the Dow Jones U.S. Biotechnology Index. To achieve the desired results, it invests in a mix of securities and derivatives.. The healthcare mutual fund is non-diversified and returned 77.23% over the last one year period.

Hratch Najarian is the fund manager and has managed this healthcare mutual fund since 2011.

ProFunds UltraSector Health Care (HCPSX) invests in equity securities and derivatives that in the opinion of the fund advisors possess daily return characteristics identical to one and a half times the daily return of the Dow Jones U.S. Health Care Index. The healthcare mutual fund returned 40.23% over the last one year period.

As of April 2013, this healthcare mutual fund held 117 issues, with 8.27% of its total assets invested in Johnson & Johnson.

Franklin Biotechnology Discovery A (FBDIX) seeks capital growth. The fund invests the majority of its assets in companies involved in biotechnology and discovery research activities. Additionally, the company may invest a maximum of 20% of its assets in securities issued by foreign or domestic companies. The healthcare mutual fund returned 30.57% over the last one year period.

The healthcare mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.20% compared to a category average of 1.46%.

Fidelity Select Biotechnology (FBIOX) invests heavily in companies whose principal operations are related to research, development and manufacturing in the biotechnology sector. The fund invests in both domestic and foreign securities. The healthcare mutual fund is non-diversified and returned 37.25% over the last one year period.

Rajiv Kaul is the fund manager and has managed this healthcare mutual fund since 2005

Delaware Healthcare A (DLHAX) seeks capital growth on a long term basis. The fund invests in companies whose principal operations are related to healthcare. Investments are made in domestic and foreign companies, including in emerging nations regardless of the market cap. The non-diversified healthcare mutual fund has a one year annualized return of 35.89%.

The healthcare mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.55% compared to a category average of 1.46%.

To view the Zacks Rank and past performance of all healthcare mutual funds, investors can click here to see the complete list of funds.

About Zacks Mutual Fund Rank

By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank at http://www.zacks.com/funds.

Read the analyst report on BIPSX

Read the analyst report on HCPSX

Read the analyst report on FBDIX

Read the analyst report on FBIOX

Read the analyst report on DLHAX

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