2 Solid Small-Value Fund Options
The category may be struggling so far this year, but there are still good choices for both conservative and more aggressive investors.
Andrew Daniels: After being the top-performing diversified U.S. stock category in 2016, the small-value category took a breather in 2017's first quarter, gaining just 0.3%. Meanwhile, the S&P 500 Index gained 6.1%.
Brent crude oil prices fell about 7% during the first quarter, so the energy sector dragged on the performance of many funds. The small-value category also has a heavy dosing of financials exposure, which posted relatively weak results during the quarter. On the flip side, the category is typically light in technology stocks, which have performed well this year.
Andrew Daniels does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.