If you have been looking for Large Cap Value funds, a place to start could be JPMorgan Large Cap Value Fund A (OLVAX). OLVAX bears a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
OLVAX is classified in the Large Cap Value segment by Zacks, which is an area full of possibilities. Investors interested in a stable income stream fund these mutual funds very appealing because they have a unique investing strategy. Large Cap Value funds invest in stocks with a market capitalization of $10 billion or more, but whose share prices do not reflect their intrinsic value. This tactic often leads to low P/E ratios and high dividend yields; however, these funds’high growth opportunity are often slowed, as large-cap securities are generally in stable industries with low to moderate growth prospects.
J.P. Morgan is based in Boston, MA, and is the manager of OLVAX. JPMorgan Large Cap Value Fund A made its debut in February of 1992, and since then, OLVAX has accumulated about $319.93 million in assets, per the most up-to-date date available. The fund is currently managed by Scott Blasdell who has been in charge of the fund since April of 2013.
Investors naturally seek funds with strong performance. OLVAX has a 5-year annualized total return of 13.8% and is in the top 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 10.88%, 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, OLVAX’s standard deviation comes in at 17.21%, compared to the category average of 14.66%. Looking at the past 5 years, the fund’s standard deviation is 22.07% compared to the category average of 15.56%. This makes the fund more volatile than its peers over the past half-decade.
The fund has a 5-year beta of 1.04, so investors should note that it is hypothetically more volatile than the market at large. 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. The fund has produced a negative alpha over the past 5 years of -1.61, which shows that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.