Any investors hoping to find a Sector – Health fund could think about starting with Macquarie Healthcare I (DLHIX). DLHIX bears a Zacks Mutual Fund Rank of 3 (Hold), which is based on various forecasting factors like size, cost, and past performance.
Objective
The world of Sector – Health funds is an area filled with options, such as DLHIX. Healthcare is one of the biggest sectors of the American economy, and Sector – Health mutual funds provide a great opportunity to invest in this industry. Here, funds can include everything from for-profit hospitals to pharmaceutical companies and medical device manufacturers.
History of Fund/Manager
Nomura is based in New York, NY, and is the manager of DLHIX. Macquarie Healthcare I debuted in September of 2007. Since then, DLHIX has accumulated assets of about $497.22 million, according to the most recently available information. The fund is currently managed by Liu Er Chen who has been in charge of the fund since September of 2007.
Performance
Investors naturally seek funds with strong performance. DLHIX has a 5-year annualized total return of 6.84%, and it sits in the top third among its category peers. If you’re interested in shorter time frames, do not dismiss looking at the fund’s 3-year annualized total return of 11.16%, which places it in the top third during this time-frame.
It is important to note that the product’s returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund’s [%] sale charge. If sales charges were included, total returns would have been lower.
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. Compared to the category average of 12.19%, the standard deviation of DLHIX over the past three years is 13.61%. Over the past 5 years, the standard deviation of the fund is 13.76% compared to the category average of 13.74%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should not forget about beta, an important way to measure a mutual fund’s risk compared to the market as a whole. DLHIX has a 5-year beta of 0.52, which means it is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio’s performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. With a negative alpha of -1.51, managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.