Top 5 Best Performing Healthcare Mutual Funds Year to Date

Zacks

The healthcare sector is one of the most desirable avenues for parking investments when markets are headed south. The demand for such services usually remains unchanged even during an economic downturn and investments in the sector provide sufficient protection to the capital invested. Several pharmaceutical companies also provide regular dividends, which can help mitigate losses from falling share prices. Healthcare mutual funds provide the perfect avenue for investors looking to invest in this sector.

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 Biotech Ultra Sector

#2 Buy

31.0%

Rydex Biotechnology

#3 Hold

23.3%

T. Rowe Price Health Sciences

#3 Hold

19.8%

Fidelity Select Biotechnology

#4 Sell

19.6%

Franklin Biotechnology Discovery A

#3 Hold

18.4%

 
ProFunds Biotechnology UltraSector (BIPSX) 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. Biotechnology Index. The healthcare mutual fund is non-diversified and returned 20.24% over the last one year period.

The healthcare mutual fund has an expense ratio of 2.87% compared to a category average of 1.51%.

Rydex Biotechnology (RYOIX) seeks capital growth. The fund invests a large share of its assets in equity securities and derivatives issued by domestic biotechnology companies. The fund is non-diversified and seeks long-term capital growth. The healthcare mutual fund returned 16.49% over the last one year period.

Michael P. Byrum is the fund manager and has managed this healthcare mutual fund since 1998/.

T. Rowe Price Health Sciences (PRHSX) invests the majority of its assets in common stocks of companies whose primary operations are related to healthcare products medicine or life sciences. The fund focuses on investing in large and mid-cap firms but may also purchase stock of smaller companies. The healthcare mutual fund returned 12.18% over the last one year period.

The healthcare mutual fund has a minimum initial investment of $2,500 and an expense ratio of 0.82% compared to a category average of 1.57%.

Fidelity Select Biotechnology (FBIOX) seeks appreciation of capital. The fund invests a large share of its assets in companies seeking to benefit from advances in the biotechnological sector. It focuses on acquiring common stocks and may also purchases securities issued by foreign companies. The healthcare mutual fund returned 19.57% over the last one year period.

As of April 2012, this healthcare mutual fund held 149 issues, with 11.41% of its total assets invested in Gilead Sciences Inc.

Franklin Biotechnology Discovery A (FBDIX) seeks capital growth. The fund invests the majority of its assets in securities issued by biotechnology and drug discovery companies. The fund primarily purchases equity securities, focusing on common stock. Not more than 20% of its assets may be invested in securities from other sectors. The healthcare mutual fund returned 13.18% over the last one year period.

Evan S. McCulloch is the fund manager and has managed this healthcare mutual fund since 1997

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 RYOIX

Read the analyst report on PRHSX

Read the analyst report on FBIOX

Read the analyst report on FBDIX

Zacks Investment Research



More From Zacks.com
View Comments