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I want the best return I can get in a 3-5 year period. I was looking at Schwab Health Care SWHFX. Sound like a good bet? I would like your advice on any stock funds that would be successful.

2007-01-28 14:40:24 · 7 answers · asked by Anonymous in Business & Finance Investing

7 answers

With actively managed mutual funds you are third on the list of concerns for the fund manager.

His first obligation is to turn a profit for his share holders, in this case schwab.

His second obligation is to himself and his management team - that will be in the expenses and 12b-1 fees.

The third concern is the performance of the fund and all he cares about posting is a return to keep the investors happy.

There are other things I can get into like inherited cost basis etc but the bottom line you are in a losing game when buying an actively managed mutual fund. The odds are terrible.

Go with an Exchange Traded Index fund with low expenses. That is your best bet where the odds are mostly in your favor. Build a portfolio of ETFs with one of the other online brokerage firms out there and make more money.

2007-01-28 15:55:04 · answer #1 · answered by Anonymous · 0 0

You did say " funds" right? Then no one has answered YOUR question yet!
I have thought that anyone's "healthcare" fund should take off for the last two years...but it really hasn't happened.
Instead I have made very nice returns in Fidelity's Emerging Markets (FEMKX) and in EUROX, a fund that focuses on eastern Europe ( sort of "heavy" in Russian energy- so it has been up and down lately)
Another area I favor is Real Estate...I have been in Fidelity's FRESX for a little over two years and it has returned 68% ... I see that they also have one that is "international" in scope: FIREX ( that may be a move I'd consider)
As you can probably figure out, I think a good deal of money is to be made in global markets...I don't get carried away, about 25% of what I own is global...and as someone else who answered your question said..ETF's are a nice ( smaller buy-in than funds) way to diversify what you hold. I have a "leetle" in Latin America ILF and MXE..and a little in China FXI
Back to healthcare: you would figure it to be a "gold-mine" but it just hasn't panned out that way...if you can isolate to drugs/pharmaceuticals in a fund, a good manager ought to be able to trade into some nice returns...
Oh! ...and mentioning "gold-mine reminds me U.S.Global ( the EUROX fund company) also have a minerals fund and precious metals fund that were in the top 20 (I think) last year.
Good hunting..

2007-01-29 00:46:01 · answer #2 · answered by jebediabartlett 6 · 0 1

Look for low cost index funds.. research the companies that sell and manage them.. look up their history and performance.. Plan on longterm participation.. with low cost index funds you can enjoy well above average earnings and get the benefits of money earning money.. LOW COST index funds.. if you choose the right ones, you should be able to realize a 10 to 15 percent annual growth.. find the ones with that kind of history and invest your money and let it ride.. Look up couch potato investing and investigate the funds.. in these kinds of funds.. you are relatively safe and have minimal risks and expenses.. LOW cost.. remember the term LOW cost index funds.. Thats what I do and will never do anything else..good luck

2007-01-28 22:52:30 · answer #3 · answered by J. W. H 5 · 0 1

Only risk the amount of money that you can afford to loose; especially if you are not a young person.

Invest the same about of money every month, quarter or year (dollar cost average) and do it for the long term.

2007-01-29 00:52:19 · answer #4 · answered by CA Bravo 3 · 1 0

if it were to be longer then 3-5 years i would go for some hydrogen company.
BMW is doing fairly good, and google is never a bad idea if you've got a lot of money to spend. I'm not a pro dont listen to me

2007-01-28 22:44:07 · answer #5 · answered by Anonymous · 0 1

Copper, Copper, and Oh Yeah. Copper. (Yes the metal)

2007-01-28 22:48:04 · answer #6 · answered by Anonymous · 0 1

i would look into pepsi

2007-01-28 23:24:33 · answer #7 · answered by jj 2 · 0 0

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