From USA Today online:
The average diversified U.S. stock mutual fund has fallen 5.9% this year, vs. a 1.4% loss for the Standard & Poor's 500-stock index, says Lipper, which tracks the funds... 92% are showing a loss ....
One reason the average fund has lagged so badly: expenses. The average fund charges about 1.3% a year to pay for salaries, offices and other costs, according to Morningstar. Stock indexes have no expenses....
Investors have yanked out $133 billion more than they have put in to stock funds this year, according to the Investment Company Institute, the funds' trade group....
Few investors put all their money in stock funds, however, so the year hasn't been a total wash. The average bond fund that invests in U.S. Treasury securities has soared 14.7% this year, as investors flocked to government securities for safety.
Funds that invest in Treasury Inflation Protected Securities, or TIPS, have surged 11% even though the consumer price index, the government's main gauge of inflation, has risen only 3.4% the 12 months ended November.
-----------------
Link: http://www.usatoday.com/money/perfi/funds/story/2011-12-16/mutual-fund-performance/52056356/1
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.