Morningstar rates open-end funds that score Positive on People and Process as Medalists 96 percent of the time so it is worth pointing out that Baron Asset [profile] is one of the select few open-end funds to receive a Neutral rating. PMs may want to keep an eye out if their fund, like Baron Asset, has funds returns near the mid-cap growth norm. Baron Asset's portfolio is also more expensive and its risk ratings are average, which may further explain the Neutral rating:

Price is also a key issue: In this case, a higher-than-average expense ratio of 1.33 percent is a headwind. (The median for no-load mid-cap funds is 1.11 percent.) Other Baron funds have overcome a similar expense obstacle, but this one has not. It would be better positioned to outperform if its costs were lower.

Wasatch Global Opportunities [profile] and Marscio Capital Management [profile] are also named as victims of high expenses.  

Edited by: InvestmentWires Staff, 


Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE