Top 5 Best Performing Energy Funds Year to Date

Zacks Investment Research

Even as the world’s energy resources are pushed to the limit, the demand for energy continues to rise steadily year over year. This is particularly true for emerging economies such as China and India where energy consumption is rising exponentially. Though efforts to harness alternative energy sources as diverse as oil shale continue, prices for this precious resource continue to rise. However investors could benefit from this phenomenon by investing in the energy sector. Mutual funds focusing on energy are a superior option in this case as they reduce risks involved by holding widely diversified portfolios.

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

Mutual Fund

Zacks Rank

Total Return YTD

DWS Clean Technology A

#1 Strong Buy

11.0%

ProFunds Oil Equipment Services & Distribution

#1 Strong Buy

8.9%

Aberdeen Natural Resources A

#1 Strong Buy

7.3%

Putnam Global Natural Resources A

#1 Strong Buy

6.7%

RS Global Natural Resources A

#1 Strong Buy

6.1%

 

 

DWS Clean Technology A (WRMAX) seeks growth of both capital and income. The fund invests heavily in domestic and foreign companies whose principal operations are related to energy and resource efficiency. Not more than 40% of its assets may be invested in merging market securities. This energy mutual fund has a three year annualized return of 0.12%.

The energy mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.52% compared to a category average of 1.44%.

ProFunds Oil Equipment Services & Distribution (OEPIX) invests the majority of its assets in equity securities or derivatives whose daily return corresponds to that of the Dow Jones U.S. Oil Equipment, Services & Distribution index. The balance of its assets is invested in money market instruments. The energy mutual fund has a three year annualized return of 22.46%.

As of January 2012, this energy mutual fund held 45 issues, with 20.12% of its total assets invested in Schlumberger NV.

Aberdeen Natural Resources A (GGNAX) seeks capital appreciation over the long term. The fund invests a large share of its assets in domestic and foreign companies from the natural resources sector. It focuses on acquiring equity securities from at least three different countries. The energy mutual fund has a three year annualized return of 11.62%.

The fund manager is Stephen Docherty and he has managed this energy mutual fund since 2010.

Putnam Global Natural Resources A (EBERX) primarily invests in common stocks of energy and natural resources companies across the world. It focuses on investing in large and mid-cap companies. The energy mutual fund has a three year annualized return of 15.68%.

The energy mutual fund has a minimum initial investment of $500 and an expense ratio of 1.26% compared to a category average of 1.43%.

RS Global Natural Resources A (RSNRX) seeks long-term capital appreciation. The fund invests heavily in shares of companies principally engaged in the energy and natural resources business. At any point in time the fund invests in at least three countries. This energy mutual fund has a three year annualized return of 20.04%.

The fund manager is Andrew J. Pilara, Jr. and he has managed this energy mutual fund since 1995.

To view the Zacks Rank and past performance of all energy 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 WRMAX

Read the analyst report on OEPIX

Read the analyst report on GGNAX

Read the analyst report on EBERX

Read the analyst report on RSNRX

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