Zacks #1 Ranked Technology Mutual Funds

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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 5 top rated technology mutual funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect these mutual funds to outperform their peers in the future. To view the Zacks Rank and past performance of all technology funds, investors can click here to see the complete list of funds.

RS Technology A (RSIFX) invests a large share of its assets in securities of issued by technology companies. The fund focuses on acquiring equity securities issued by domestic companies. However, it may also purchase foreign securities. The technology mutual fund has a five year annualized return of 25.73%

The technology fund has a minimum initial investment of $2,500 and an expense ratio of 1.59% compared to a category average of 1.53%.

Fidelity Select Electronics (FSELX) seeks capital growth. The fund invests the majority of its assets in companies whose primary operations are related to electronics. Investments are made in both domestic and foreign companies. The fund uses fundamental analysis to select companies for investment purposes. The technology mutual fund has a five year annualized return of 21.32%.

As of September 2013, this technology mutual fund held 75 issues, with 12.43% of its total assets invested in Intel Corp.

Firsthand Technology Opportunities (TEFQX) 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 fund invests in companies regardless of their size. The technology mutual fund has a five year annualized return of 24.51%.

The fund manager is Kevin M. Landis and he has managed this technology mutual fund since 1999.

Dreyfus Technology Growth A (DTGRX) seeks capital growth. The fund invests in securities of technology companies which have high earnings growth prospects. 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 21.74%.

The technology fund has a minimum initial investment of $1,000 and an expense ratio of 1.45% compared to a category average of 1.53%.

ProFunds Internet UltraSector Service (INPSX) invests in securities and derivatives with an objective to generate return investment results which are 150% of the daily performance of the Dow Jones Internet Composite Index. This technology mutual fund is non-diversified and has a five year annualized return of 37.13%.

The fund manager is Michael Neches and he has managed this technology mutual fund since 2013.

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.


Read the analyst report on RSIFX

Read the analyst report on FSELX

Read the analyst report on TEFQX

Read the analyst report on DTGRX

Read the analyst report on INPSX


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