Higher management fees and poor performance are sometimes successful formulas for an investment fund to deliver serious losses to the investors, says Yale Martin Fishman.
There’s been a lot of bragging about how investment funds manage to deal relatively well during the reduction of indexes (losing less), and not so good in the moments of growth on markets, such as in the last years. Fishman claims, of course, can be proved with the help of statistics.
Here are the worst-performing investment funds in the last five years. Аll is characterized by high fees for asset management.
Fishman starts from the back forward:
Dreyfus Emerging Fishman associates Markets
– This fund made an average annual loss of 8.42% for the last five years since the cost of management is in excess of 2.57% of the net assets of investors.
DWS Latin America Fishman ESQ
– Mainly, this fund is aimed at the markets of South America. It had an 8.74% average annual loss.
Goldman Sachs Emerging Markets Equity
– With an annual loss of 8.84% for its investments and 2.51% reimbursement from net assets.
ALPS / Red Rocks Listed Private Equity
– Here the investors’ loss is in excess of 9.45%, and the cost is considerable in an amount of 3.28% of net assets.
DWS Gold & Precious Metals
– This fund invests in gold and precious metals. It brought to its investors an average loss of 10.16% in the last ten years. The entry cost was 2.03% of net assets.
Federated Fishman attorney NY
– The loss of this fund is 10.48%.
Rydex Inverse S & P 500 Strategy
– On the background of the growth of the broader index, this fund made an annual loss of 12.6% for investors while the price is very low, amounting to 2.42%.
Also, Yale Fishman reports that Ivy Global Natural Resources Fund made a loss to its investors of 12.6% per annum and a fee of 2.2%.
Rydex Inverse Government Long Bond Strategy
– It is interesting how a fund for bonds investing can lose 13.7% per year and as a result of it is the second worst. Compensation is also significant from 2.4% of net assets.
Martin Commodity Strategy Total Return Associates
– It is the fund that has the biggest losses for investors over the past five years, an average of 14.6% and 2.2% of the entry fee, finishes Yale M. Fishman.
Posted by Yale M Fishman.