Is Invesco SteelPath MLP Income A (MLPDX) a Strong Mutual Fund Pick Right Now?

There are plenty of choices in the Sector - Energy category, but where should you start your research? Well, one fund that might be worth investigating is Invesco SteelPath MLP Income A (MLPDX). MLPDX carries a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.ObjectiveWe classify MLPDX in the Sector - Energy category, an area that is rife with possible choices. Throughout the massive global energy sector, Sector - Energy mutual funds hold a wide range of quickly changing and vitally important industries. While oil and gas comprise the bulk of the exposure, carbon-based fuels will be the biggest group of assets in these funds, though clean energy is starting to pick up steam.History of Fund/ManagerInvesco is based in Kansas City, MO, and is the manager of MLPDX. The Invesco SteelPath MLP Income A made its debut in April of 2010 and MLPDX has managed to accumulate roughly $1.92 billion in assets, as of the most recently available information. Stuart Cartner is the fund's current manager and has held that role since April of 2010.PerformanceInvestors naturally seek funds with strong performance. This fund has delivered a 5-year annualized total return of 23.95%, and it sits in the middle 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 17.37%, 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. The standard deviation of MLPDX over the past three years is 12.5% compared to the category average of 11.84%. Looking at the past 5 years, the fund's standard deviation is 16.66% compared to the category average of 13.68%. 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 0.54, which means it is hypothetically less volatile than the market at large. 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. The fund has produced a positive alpha over the past 5 years of 14.46, which shows that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.ExpensesFor investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, MLPDX is a load fund and it has an expense ratio of 1.33%.While the minimum initial investment for the product is $1,000, investors should also note that each subsequent investment needs to be at least $50.Fees charged by investment advisors have not been taken into consideration. Returns would be less if those were included.Bottom LineThis puts this fund from Invesco in the top 40% of all mutual funds we have a rank on right now. As a result, this is likely an excellent choice for investors seeking an option in the Sector - Energy category.For additional information on this product, or to compare it to other mutual funds in the Sector - Energy, make sure to go to www.zacks.com/funds/mutual-funds for additional information. If you want to check out our stock reports as well, make sure to go to Zacks.com to see all of the great tools we have to offer, including our time-tested Zacks Rank.Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.SeeWant 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 (MLPDX): 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