Is T. Rowe Price International Discovery (PRIDX) a Strong Mutual Fund Pick Right Now?
Mutual Fund Report for PRIDX
Looking for a Non US - Equity fund? You may want to consider T. Rowe Price International Discovery (PRIDX) as a possible option. PRIDX has a Zacks Mutual Fund Rank of 3 (Hold), which is based on nine forecasting factors like size, cost, and past performance.
We classify PRIDX in the Non US - Equity category, which is an area rife with potential choices. Investing in companies outside the United States is how Non US - Equity funds set themselves apart, since global funds tend to keep a good portion of their portfolio stateside. Many of these funds like to allocate across emerging and developed markets, and will often focus on all cap levels.
History of Fund/Manager
T. Rowe Price is responsible for PRIDX, and the company is based out of Baltimore, MD. T. Rowe Price International Discovery made its debut in December of 1988, and since then, PRIDX has accumulated about $6.09 billion in assets, per the most up-to-date date available. Ben Griffiths is the fund's current manager and has held that role since March of 2020.
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 16.8%, and is in the top third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 15.85%, which places it in the top third during this time-frame.
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. PRIDX's standard deviation over the past three years is 20.07% compared to the category average of 17.81%. Over the past 5 years, the standard deviation of the fund is 16.3% compared to the category average of 14.71%. This makes the fund more volatile than its peers over the past half-decade.
Investors should note that the fund has a 5-year beta of 0.92, so it is likely going to be less 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. With a positive alpha of 0.87, managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
As 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, PRIDX is a no load fund. It has an expense ratio of 1.18% compared to the category average of 1.18%. So, PRIDX is actually on par with its peers from a cost perspective.
While the minimum initial investment for the product is $2,500, investors should also note that each subsequent investment needs to be at least $100.
Overall, T. Rowe Price International Discovery ( PRIDX ) has a neutral Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and on par fees, this fund looks like a somewhat average choice for investors right now.
For additional information on this product, or to compare it to other mutual funds in the Non US - Equity, make sure to go to www.zacks.com/funds/mutual-funds 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.
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