Question
Go to www.morningstar.com . In the Morningstar Tools section, click on the link for the Fund Screener . Set the criteria you desire, then click
Go to www.morningstar.com. In the Morningstar Tools section, click on the link for the Fund Screener. Set the criteria you desire, then click on the Show Results tab. If you get no funds that meet all your criteria, choose the criterion that is least important to you and relax that constraint. Continue the process until you have several funds to compare.
(1) Examine all of the views available in the drop-down box menu (Snapshot, Performance, Portfolio, and Nuts and Bolts) to answer the following questions:
- Which fund has the best expense ratio?
- Which funds have the lowest Morningstar Risk rating?
- Which fund has the best 3-year return? Which has the best 10-year return?
- Which fund has the lowest turnover ratio? Which has the highest?
- Which fund has the longest manager tenure? Which has the shortest?
- Do you need to eliminate any of the funds from consideration due to a minimum initial investment that is higher than you are capable of making?
(2) Based on what you know about the funds, which one do you think would be the best one for your investment? Why?
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