Looking for a Mutual Fund Equity Report fund? You may want to consider iShares S&P 500 Index K (WFSPX) as a possible option. The fund does not have a Zacks Mutual Fund Rank, though we have been able to explore other metrics like performance, volatility, and cost.
History of Fund/Manager
WFSPX is a part of the BlackRock family of funds, a company based out of New York, NY. Since iShares S&P 500 Index K made its debut in July of 1993, WFSPX has garnered more than $9.84 billion in assets. A team of investment professionals is the fund’s current manager.
Of course, investors look for strong performance in funds. WFSPX has a 5-year annualized total return of 9.22% 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 8.14%, 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, WFSPX’s standard deviation comes in at 20.35%, compared to the category average of 16.38%. The standard deviation of the fund over the past 5 years is 18.1% compared to the category average of 14.6%. This makes the fund more volatile than its peers over the past half-decade.
Investors should note that the fund has a 5-year beta of 1, so it is likely going to be as volatile as the market at large. Another factor to consider is alpha, as it reflects a portfolio’s performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. WFSPX has generated a positive alpha over the past five years of 0.02, demonstrating that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Exploring 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 largely on equities that are traded in the United States.
This fund is currently holding about 98.92% stock in stocks, with an average market capitalization of $318.65 billion. The fund has the heaviest exposure to the following market sectors:
With turnover at about 12%, this fund is making fewer trades than the average comparable fund.
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, WFSPX is a no load fund. It has an expense ratio of 0.03% compared to the category average of 0.79%. So, WFSPX is actually cheaper than its peers from a cost perspective.
Investors should also note that the minimum initial investment for the product is $5 million and that each subsequent investment has no minimum amount.
Don’t stop here for your research on Mutual Fund Equity Report funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare WFSPX to its peers as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio – both funds and stocks – in the most efficient way possible.