2 / 5 Stars
2 1 2 4 5
Zacks Investment Research
Standard & Poor's
2 / 5 Stars
#140 in Mid-Cap Growth
U.S. News evaluated 223 Mid-Cap 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 45.84 percent over the past year, 6.26 percent over the past three years, 23.20 percent over the past five years, and 9.90 percent over the past decade.
|Trailing Returns||Updated 02.28.2014|
|Year to date||10.7%|
|3 Years (Annualized)||6.3%|
|5 Years (Annualized)||23.2%|
|10 Years (Annualized)||9.9%|
Westcore Select's compact portfolio packs quite a bit of punch.
As of March 05, 2014, the fund has assets totaling almost $120.18 million invested in 36 different holdings. Its portfolio consists primarily of shares of midsized companies.
The last two years have been good ones for mid-cap funds, and this one is no exception. Last year, for instance, it beat the broader market by a whopping 15 percentage points. That was largely thanks to spectacular performance from investments in Rockwood Holdings, Wesco International, and Signet Jewelers. As its name implies, this fund's portfolio is incredibly compact. As of the end of February, management owned shares of just 24 companies. While concentrated portfolios normally court added risk, this fund has been fairly stable. Earlier in the year, management was holding onto quite a bit of cash. As of the end of January, cash accounted for 10 percent of the fund's assets; that was more than three times the average for Morningstar's mid-cap growth category. But by the end of February, that number was just 2 percent. Management deployed the excess cash by adding to its positions in its top holdings and by adding a number of new names, including Actuant Corporation and Sirius XM Radio, to the portfolio. The fund has returned 45.84 percent over the past year and 6.26 percent over the past three years.
With the exception of 2003, when it underperformed its Morningstar peer group by 16 percentage points, and 2005, the fund has landed in the top half of its Morningstar group each year over the trailing 10-year period. This consistent performance, which comes despite the fund's concentrated makeup, is a tribute to management's stock-picking prowess. The fund has returned 23.20 percent over the past five years and 9.90 percent over the past decade.
According to the fund's prospectus: "The Fund's portfolio management team implements an investment strategy through a combination of quantitative sector-specific screening and independent fundamental research. The team constructs a portfolio designed to generate alpha primarily through stock selection. A proprietary valuation model is created for all potential investments in order to identify the key drivers of earnings and cash flow and to gauge embedded expectations implied in a stock's current price. The team focuses its research on understanding what impacts these drivers and determining how its estimates differ from market expectations."
Role in Portfolio
This fund could lend support to a well-balanced portfolio.
Veteran skipper William Chester, along with five co-managers, runs the fund.
Westcore Trust Select Fund has an expense ratio of 1.06 percent.
Like all stock funds, this one comes with some risks.