Having trouble finding a Mutual Fund Equity Report fund? Fidelity Latin American Fund (FLATX) is a possible starting point. FLATX holds a Zacks Mutual Fund Rank of 3 (Hold), which is based on nine forecasting factors like size, cost, and past performance.
History of Fund/Manager
Fidelity is based in Boston, MA, and is the manager of FLATX. Fidelity Latin American Fund made its debut in April of 1993, and since then, FLATX has accumulated about $262.58 million in assets, per the most up-to-date date available. William Pruett is the fund's current manager and has held that role since October of 2015.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of -1.14%, 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 -2.51%, 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. Over the past three years, FLATX's standard deviation comes in at 34.94%, compared to the category average of 18.72%. Looking at the past 5 years, the fund's standard deviation is 30.64% compared to the category average of 15.86%. 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 1.14, 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. FLATX has generated a negative alpha over the past five years of -15.77, demonstrating that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, FLATX is a no load fund. It has an expense ratio of 1.05% compared to the category average of 1.18%. Looking at the fund from a cost perspective, FLATX is actually cheaper than its peers.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.