Is Rydex NASDAQ-100 2X Strategy A (RYVLX) a Strong Mutual Fund Pick Right Now?

If you've been stuck searching for Index funds, consider Rydex NASDAQ-100 2X Strategy A (RYVLX) as a possibility. RYVLX possesses a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance.History of Fund/ManagerRydex is based in Topeka, KS, and is the manager of RYVLX. The Rydex NASDAQ-100 2X Strategy A made its debut in June of 2005 and RYVLX has managed to accumulate roughly $111.42 million in assets, as of the most recently available information. The fund is currently managed by a team of investment professionals.PerformanceOf course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 29.82%, and is in the top third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 4.93%, which places it in the middle 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. Compared to the category average of 21.99%, the standard deviation of RYVLX over the past three years is 43.78%. Over the past 5 years, the standard deviation of the fund is 43.87% compared to the category average of 23.25%. This makes the fund more volatile than its peers over the past half-decade.Risk FactorsThe fund has a 5-year beta of 2.25, so investors should note that it is hypothetically more volatile than the market at large. 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. The fund has produced a positive alpha over the past 5 years of 3.18, which shows that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.ExpensesAs competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, RYVLX is a load fund. It has an expense ratio of 1.90% compared to the category average of 1.27%. RYVLX is actually more expensive than its peers when you consider factors like cost.This fund requires a minimum initial investment of $2,500, while there is no minimum for each subsequent investment.Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included.Bottom LineOverall, even with its comparatively strong performance, worse downside risk, and higher fees, Rydex NASDAQ-100 2X Strategy A ( RYVLX ) has a high Zacks Mutual Fund rank, and therefore looks a good potential choice for investors right now.Want even more information about RYVLX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.Zacks Naming Top 10 Stocks for 2025Want to be tipped off early to our 10 top picks for the entirety of 2025?History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2025. Don’t miss your chance to get in on these stocks when they’re released on January 2.Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (RYVLX): Fund Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks