Zacks #1 Ranked Precious Metals Funds

Zacks

Precious metals have always been a solid investment choice, especially in times of economic uncertainty. They also offer superior protection against inflation, which cannot be said of almost all other reasonably liquid assets. Consequently, they outperform other sectors during a market downturn, as they have demonstrated in the recent past. Since they hold well diversified portfolios and are professionally managed, precious metals funds offer the most stable option for investments in this sector.

Below we will share with you 5 top rated precious metals mutual funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect the fund to outperform its peers in the future. To view the Zacks Rank and past performance of all precious metals funds, investors can click here to see the complete list of funds.

First Eagle Gold A (SGGDX) invests a large share of its assets directly in companies involved in basic operations of gold. Investments are also made in gold mining finance companies and operating companies having mines with long, medium or short life. The precious metals mutual fund has a five year annualized return of -1.50%.

The fund has a minimum initial investment of $2,500 and has an expense ratio of 1.25% compared to category average of 1.39%.

Invesco Gold & Precious Metals Invstor (FGLDX) seeks capital growth on a long-term basis. The fund purchases securities of companies whose primary operations are related to palladium, platinum, silver and diamonds. The fund may invest all its assets in securities of companies from the gold and precious metals sector. The precious metals fund has a five year annualized return of 0.14%.

As of September 2013, this precious metals fund held 32 issues with 6.34% of its total assets invested in Goldcorp, Inc.

Fidelity Select Gold (FSAGX) seeks capital growth. Not more than 25% of its assets are invested in gold and precious metals. The fund may invest in companies whose primary operations are related to gold and few precious metals like silver, diamonds and platinum. The precious metals fund has a five year annualized return of -5.05%.

The fund manager is Joe Wickwire and has managed this precious metals mutual fund since 2007.

Tocqueville Gold (TGLDX) seeks long-term capital growth. It invests a large share of its assets in companies related to gold and other precious metals located worldwide. Investments are also made in developed and emerging markets. The precious metals fund has a five year annualized return of 4.30%.

The fund has a minimum initial investment of $1,000 and has an expense ratio of 1.34% compared to category average of 1.39%.

OCM Gold Investor (OCMGX) seeks capital growth over the long term. It invests a majority of its assets in global and international companies, irrespective of market size, involved in the gold mining industry. The precious metals fund has a five year annualized return of -1.04%.

The fund manager is Greg M. Orrell and has managed this precious metals mutual fund since 1988.

To view the Zacks Rank and past performance of all precious metals 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.


Read the analyst report on SGGDX

Read the analyst report on FGLDX

Read the analyst report on FSAGX

Read the analyst report on TGLDX

Read the analyst report on OCMGX


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