Top 5 Best Performing Technology Mutual Funds Year to Date

Zacks

Technology is clearly a long term growth prospect for investors willing to remain invested and should continue to outperform the market over time. Many have viewed the sector with skepticism since the tech bubble burst more than a decade ago, but times have clearly changed for the better. Valuations are now based on stronger fundamentals and careful selection of investments has yielded good long term returns for many funds. Technology mutual funds greatly reduce the volatility inherent in this sector through by carefully selecting securities to create widely diversified portfolios.

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

Mutual Fund

Zacks Rank

Total Return YTD

Waddell & Reed Science & Technology A

#4 Sell

21.66%

ProFunds Internet UltraSector

#1 Strong Buy

15.66%

Fidelity Select Software & Computer Services

#1 Strong Buy

14.96%

Firsthand Technology Opportunities

#5 Strong Sell

14.81%

Goldman Sachs Technology Tollkeeper A

#1 Strong Buy

14.39%

 
Waddell & Reed Science & Technology A (UNSCX) invests the majority of its assets in science and technology companies. The fund focuses on investing in mid and small-cap companies but may also invest in larger firms. The technology mutual fund has a five year annualized return of 3.18%.

The fund manager is Zachary H. Shafran and he has managed this technology mutual fund since 2001.

ProFunds Internet Ultra Sector (INPSX) seeks a return identical to 150% of the performance of the Dow Jones Internet Composite Index. The fund invests substantially all its assets in a mix of equity securities and derivatives. The non-diversified fund may also invest some part of its assets in money market instruments. The technology mutual fund has a five year annualized return of 1.44%.

The technology mutual fund has an expense ratio of 2.84% compared to a category average of 1.61%.

Fidelity Select Software and Computer Services (FSCSX) invests heavily in companies whose principal operations are related to software or information-based services. The fund may purchase foreign securities and invest a heavily in a single issuer. The technology mutual fund has a five year annualized return of 4.57%.

The fund manager is Brian Lempel and he has managed this technology mutual fund since 2009.

Firsthand Technology Opportunities (TEFQX) seeks capital appreciation over the long term. The fund invests a large share of its assets in companies which utilize a high degree of cutting edge engineering or scientific knowledge in its operations. The technology mutual fund is non-diversified and has a five year annualized return of 3.62%.

As of September 2012, this technology mutual fund held 27 issues, with 19.22% of its total assets invested in Apple, Inc.

Goldman Sachs Technology Tollkeeper A (GITAX) invests the majority of its assets in equity securities of Tollkeeper companies .These are companies that are positioned to benefit from the proliferation of technology. A maximum of 25% of its assets may be utilized to purchase foreign securities. The technology mutual fund has a five year annualized return of 2.14%.

The technology mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.50% compared to a category average of 1.61%.

To view the Zacks Rank and past performance of all technology 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 UNSCX

Read the analyst report on INPSX

Read the analyst report on FSCSX

Read the analyst report on TEFQX

Read the analyst report on GITAX

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