Is Boston Partners Small Cap Value II Institutional (BPSIX) a Strong Mutual Fund Pick Right Now?

If investors are looking at the Small Cap Value fund category, Boston Partners Small Cap Value II Institutional (BPSIX) could be a potential option. BPSIX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.ObjectiveBPSIX is one of many Small Cap Value funds to choose from. Small Cap Value mutual funds typically invest in companies with market caps under $2 billion. These funds represent value because they offer more bang for an owner's buck, often demonstrated by lower P/E Ratios, high dividend yields, and better-than-average price-to-sales ratios.History of Fund/ManagerBPSIX finds itself in the BostonPartners family, based out of New York, NY. Since Boston Partners Small Cap Value II Institutional made its debut in July of 1998, BPSIX has garnered more than $475.32 million in assets. George Gumpert is the fund's current manager and has held that role since December of 2005.PerformanceObviously, what investors are looking for in these funds is strong performance relative to their peers. This fund has delivered a 5-year annualized total return of 18.34%, and it sits 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 4.27%, which places it in the middle 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. Over the past three years, BPSIX's standard deviation comes in at 21.45%, compared to the category average of 18.14%. The standard deviation of the fund over the past 5 years is 20.84% compared to the category average of 19.85%. This makes the fund more volatile than its peers over the past half-decade.Risk FactorsInvestors should note that the fund has a 5-year beta of 1.01, which means it is hypothetically as volatile as the market at large. 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. The fund has produced a positive alpha over the past 5 years of 0.36, which shows that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.HoldingsInvestigating 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 mostly on equities that are traded in the United States.Currently, this mutual fund is holding 89.95% in stocks, with an average market capitalization of $3.61 billion. The fund has the heaviest exposure to the following market sectors: Finance Services Technology Industrial Cyclical Turnover is 55%, which means this fund makes fewer trades than the average comparable fund.ExpensesCosts are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, BPSIX is a no load fund. It has an expense ratio of 0.99% compared to the category average of 1.05%. So, BPSIX is actually cheaper than its peers from a cost perspective.While the minimum initial investment for the product is $100,000, investors should also note that each subsequent investment needs to be at least $5,000.Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.Bottom LineOverall, Boston Partners Small Cap Value II Institutional ( BPSIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and lower fees, this fund looks like a good potential choice for investors right now.Don't stop here for your research on Small Cap Value funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare BPSIX to its peers as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (BPSIX): Fund Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks