Is Matthews India Fund (MINDX) a Strong Mutual Fund Pick Right Now?

If you have been looking for Pacific Rim - Equity funds, it would not be wise to start your search with Matthews India Fund (MINDX). MINDX bears a Zacks Mutual Fund Rank of 5 (Strong Sell), which is based on various forecasting factors like size, cost, and past performance.ObjectiveMINDX is one of many Pacific Rim - Equity funds to choose from. Pacific Rim - Equity mutual funds typically invest in companies throughout the dominant export-focused markets of Hong Kong, Singapore, Taiwan, and Korea. Since Japan mutual funds are already popular in their own right, these Pacific funds will usually invest less than 10% of their assets in Japanese companies.History of Fund/ManagerMatthews Asia is based in San Francisco, CA, and is the manager of MINDX. Since Matthews India Fund made its debut in October of 2005, MINDX has garnered more than $600.28 million in assets. The fund's current manager, Peeyush Mittal, has been in charge of the fund since April of 2018.PerformanceOf course, investors look for strong performance in funds. This fund has delivered a 5-year annualized total return of 16.67%, 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 8.55%, 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 14.38%, the standard deviation of MINDX over the past three years is 13.57%. The standard deviation of the fund over the past 5 years is 14.59% compared to the category average of 17.87%. This makes the fund less volatile than its peers over the past half-decade.Risk FactorsWith a 5-year beta of 0.46, the fund is likely to be less volatile than the market average. Because alpha represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which is the S&P 500 in this case, one should pay attention to this metric as well. MINDX's 5-year performance has produced a positive alpha of 8.07, which means managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.ExpensesAs 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, MINDX is a no load fund. It has an expense ratio of 1.22% compared to the category average of 1.16%. MINDX is actually more expensive than its peers when you consider factors like cost.While the minimum initial investment for the product is $2,500, investors should also note that each subsequent investment needs to be at least $100.Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.Bottom LineOverall, Matthews India Fund ( MINDX ) has a low Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and higher fees, Matthews India Fund ( MINDX ) looks like a somewhat weak choice for investors right now.For additional information on the Pacific Rim - Equity area of the mutual fund world, make sure to check out www.zacks.com/funds/mutual-funds. There, you can see more about the ranking process, and dive even deeper into MINDX too for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.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 (MINDX): 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