4 / 5 Stars
4 3 5 5 3
Zacks Investment Research
1 (Strong Buy)
Standard & Poor's
4 / 5 Stars
#52 in Large Growth
U.S. News evaluated 468 Large Growth Funds. Our list highlights the top-rated funds for long-term investors based on the ratings of leading fund industry researchers.
The fund has returned 19.89 percent over the past year, 14.01 percent over the past three years, 21.22 percent over the past five years, and 6.98 percent over the past decade.
|Trailing Returns||Updated 01.31.2014|
|Year to date||-2.6%|
|3 Years (Annualized)||14.0%|
|5 Years (Annualized)||21.2%|
|10 Years (Annualized)||7.0%|
For investors in TCW Select Equities, a concentrated portfolio has led to mixed results.
As of February 05, 2014, the fund has assets totaling almost $1.72 billion invested in 34 different holdings. Its portfolio consists primarily of shares of large companies.
This fund's management team runs a compact portfolio and exhibits extraordinary confidence in its favorite companies. As of the end of the first quarter of 2011, the fund owned shares of just 32 businesses. Apart from that, management isn't averse to opportunistic shifts. For a brief period, one name, C.H. Robinson Worldwide, a company whose services include freight transportation and logistics, represented a whopping 10 percent of the fund's portfolio. Now it accounts for less than 5 percent. Other top holdings include Apple and Qualcomm.
While most funds that make big bets either win big or fall hard in any given year, this one is a bit more nuanced. What it lacks in diversification, it makes up for in management's willingness to admit that the direction of the market is far from clear. In other words, the fund counterbalances its concentrated composition by pursuing a strategy that allows management to occasionally sacrifice returns in favor of protecting against the downside. The fund has returned 19.89 percent over the past year and 14.01 percent over the past three years.
Historically, the fund has hovered near the middle of the pack. As of the end of 2010, its trailing 10-year returns landed it in the top 35 percent of Morningstar's large growth category. The fund has returned 21.22 percent over the past five years and 6.98 percent over the past decade.
According to the fund's prospectus: "The portfolio manager uses a highly focused approach which seeks to achieve superior long-term returns over a full market cycle by owning shares of companies that he believes to have strong and enduring business models and inherent advantages over their competitors."
Role in Portfolio
Morningstar calls the fund a "supporting player."
Craig Blum runs the fund.
TCW Select Equities Fund has an expense ratio of 0.83 percent.
Like all stock funds, this one comes with some risks.