If you have been looking for Mutual Fund Equity Report funds, a place to start could be DFA US Targeted Value I (DFFVX). DFFVX bears a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Dimensional is based in Austin, TX, and is the manager of DFFVX. Since DFA US Targeted Value I made its debut in November of 2000, DFFVX has garnered more than $12.59 billion in assets. The fund is currently managed by a team of investment professionals.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. DFFVX has a 5-year annualized total return of 7.12% and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 10.38%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 18.38%, the standard deviation of DFFVX over the past three years is 27.65%. The standard deviation of the fund over the past 5 years is 24.74% compared to the category average of 16.5%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should note that the fund has a 5-year beta of 1.24, so it is likely going to be more volatile than the market at large. Because alpha represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. The fund has produced a negative alpha over the past 5 years of -4.67, which shows that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is principally on equities that are traded in the United States.
Right now, 98.54% of this mutual fund's holdings are stocks, which have an average market capitalization of $5.02 billion. The fund has the heaviest exposure to the following market sectors:
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Finance
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Industrial Cyclical
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Other
With turnover at about 13%, this fund is making fewer trades than its comparable peers.