Five Hidden Gems That Are Obscured by Past Failures
Don't overlook these five funds just because previous managers had poor performance.
Sometimes even five years isn't enough to make people forget about a fund's poor history.
A couple of weeks ago I mentioned that Loomis Sayles Small Cap Growth (LCGRX) was a good fund that no one had noticed because its strong five-year record was obscured by a still crummy 10-year number. Thus, the fund had just $132 million in assets. Management had only been on board for six years, so that didn't make sense.
That made me curious whether there were other funds like that. I found five that fit the bill. It's a handy list because you're finding funds that have a lot of promise yet still have a modest asset base.
Russel Kinnel does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.