Hhave you been searching for a Mutual Fund Equity Report fund? You might want to start with Schwab Total Stock Market (SWTSX). SWTSX has no Zacks Mutual Fund Rank, but we have been able to look into other metrics like performance, volatility, and cost.
History of Fund / Manager
SWTSX is a part of the Schwab Funds family of funds, a company based out of San Francisco, CA. Schwab Total Stock Market made its debut in June of 1999, and since then, SWTSX has accumulated about $ 18.23 billion in assets, per the most up-to-date date available. A team of investment professionals is the fund’s current manager.
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 15.27%, and is in the middle 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 18.09%, which places it in the middle 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. The standard deviation of SWTSX over the past three years is 18.53% compared to the average category of 18.13%. Over the past 5 years, the standard deviation of the fund is 16.42% compared to the average category of 16.15%. This makes the fund more volatile than its peers over the past half-decade.
With a 5-year beta of 1.03, the fund is likely to be as volatile as the market average. Alpha is an additional metric to take into consideration, since it represents a portfolio’s performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. With a negative alpha of -1, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Examining 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 principally on equities that are traded in the United States.
The mutual fund currently has 99.26% of its holdings in stocks, with an average market capitalization of $ 353.70 billion. The fund has the heaviest exposure to the following market sectors:
- Retail Trade
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, SWTSX is a no load fund. It has an expense ratio of 0.03% compared to the average category of 0.78%. SWTSX is actually cheaper than its peers when you consider factors like cost.
Investors should also note that the minimum initial investment for the product is $ 0 and that each subsequent investment has no minimum amount.
This could just be the start of your research on SWTSXin the Mutual Fund Equity Report category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are.
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