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Is T. Rowe Price Mid-Cap Growth Adviser (PAMCX) a Strong Mutual Fund Pick Right Now?
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Mid Cap Growth fund seekers should consider taking a look at T. Rowe Price Mid-Cap Growth Adviser (PAMCX - Free Report) . PAMCX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
PAMCX is part of the Mid Cap Growth section, a segment that boasts a wide array of possible selections. While Mid Cap Growth mutual funds choose companies with a stock market valuation between $2 billion and $10 billion, stocks in these funds are also expected to show broad considerable growth opportunities for investors compared to their peers. To be considered a growth stock, companies must consistently report impressive sales and/or earnings growth.
History of Fund/Manager
PAMCX is a part of the T. Rowe Price family of funds, a company based out of Baltimore, MD. T. Rowe Price Mid-Cap Growth Adviser made its debut in June of 1992, and since then, PAMCX has accumulated about $208 million in assets, per the most up-to-date date available. The fund's current manager, Brian W. H. Berghuis, has been in charge of the fund since June of 1992.
Performance
Of course, investors look for strong performance in funds. This fund in particular has delivered a 5-year annualized total return of 8.92%, and is in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 1.93%, 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. Over the past three years, PAMCX's standard deviation comes in at 18.58%, compared to the category average of 15.79%. Over the past 5 years, the standard deviation of the fund is 19.81% compared to the category average of 16.59%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 1.03, the fund is likely to be as volatile as the market average. 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. PAMCX's 5-year performance has produced a negative alpha of -6.28, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, PAMCX is a no load fund. It has an expense ratio of 1.01% compared to the category average of 0.97%. From a cost perspective, PAMCX is actually more expensive than its peers.
Investors should also note that the minimum initial investment for the product is $2,500 and that each subsequent investment needs to be at $100
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, even with its comparatively similar performance, average downside risk, and higher fees, T. Rowe Price Mid-Cap Growth Adviser ( PAMCX ) has a high Zacks Mutual Fund rank, and therefore looks a good potential choice for investors right now.
Your research on the Mid Cap Growth segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.
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Is T. Rowe Price Mid-Cap Growth Adviser (PAMCX) a Strong Mutual Fund Pick Right Now?
Mid Cap Growth fund seekers should consider taking a look at T. Rowe Price Mid-Cap Growth Adviser (PAMCX - Free Report) . PAMCX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
PAMCX is part of the Mid Cap Growth section, a segment that boasts a wide array of possible selections. While Mid Cap Growth mutual funds choose companies with a stock market valuation between $2 billion and $10 billion, stocks in these funds are also expected to show broad considerable growth opportunities for investors compared to their peers. To be considered a growth stock, companies must consistently report impressive sales and/or earnings growth.
History of Fund/Manager
PAMCX is a part of the T. Rowe Price family of funds, a company based out of Baltimore, MD. T. Rowe Price Mid-Cap Growth Adviser made its debut in June of 1992, and since then, PAMCX has accumulated about $208 million in assets, per the most up-to-date date available. The fund's current manager, Brian W. H. Berghuis, has been in charge of the fund since June of 1992.
Performance
Of course, investors look for strong performance in funds. This fund in particular has delivered a 5-year annualized total return of 8.92%, and is in the middle third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 1.93%, 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. Over the past three years, PAMCX's standard deviation comes in at 18.58%, compared to the category average of 15.79%. Over the past 5 years, the standard deviation of the fund is 19.81% compared to the category average of 16.59%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 1.03, the fund is likely to be as volatile as the market average. 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. PAMCX's 5-year performance has produced a negative alpha of -6.28, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, PAMCX is a no load fund. It has an expense ratio of 1.01% compared to the category average of 0.97%. From a cost perspective, PAMCX is actually more expensive than its peers.
Investors should also note that the minimum initial investment for the product is $2,500 and that each subsequent investment needs to be at $100
Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.
Bottom Line
Overall, even with its comparatively similar performance, average downside risk, and higher fees, T. Rowe Price Mid-Cap Growth Adviser ( PAMCX ) has a high Zacks Mutual Fund rank, and therefore looks a good potential choice for investors right now.
Your research on the Mid Cap Growth segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. Zacks provides a full suite of tools to help you analyze your portfolio - both funds and stocks - in the most efficient way possible.