Top Trending: Apple Wants to Teach You How to Make Apps

Balancing Act

Funds that combine the best of both worlds
  • ---Shares
This story appears in the July 2002 issue of Entrepreneur. Subscribe »
Reader Resource

Apply now to be an Entrepreneur 360™ company. Let us tell the world your success story. Get Started »

There's something sweet about balanced funds. For one thing, they make picking easy: When you can't decide whether a stock or a bond fund is better for you, they fit the bill perfectly by offering both wrapped up in one convenient package.

The Oakmark Equity & Income fund (OAKBX), around since 1995, is a value fund managed by Clyde McGregor since its inception. According to Lipper Inc., this balance fund is among the top performing funds over the past one-year and five-year periods. So far, it has a No. 1 Lipper leader rating in both consistent return and preservation of capital categories.

With at least 50 percent of its assets invested in stocks and at least 25 percent in Treasuries, the fund's got enough leeway to pick up performance juice and, at the same time, keep itself grounded, thanks to its high-quality, fixed-income holdings.

"This fund will look at anything on the stock side, from the occasional micro-cap to the very large-cap," says McGregor, "and on the bond side, everything from Treasuries to nonrated issues."

The fund isn't kicking off the income it once did, but that's because finding high-yield bonds hasn't been easy-and McGregor is very picky about any high-yield securities he adds. But the Oakmark Equity & Income fund is still a solid performer and worth looking at when it's balance you seek.


Dian Vujovich is an author, syndicated columnist and publisher of mutual fund investing site www.allaboutfunds.com.

Edition: May 2017

Get the Magazine

Limited-Time Offer: 1 Year Print + Digital Edition and 2 Gifts only $9.99
Subscribe Now
OK

This website uses cookies to allow us to see how our website and related online services are being used. By continuing to use this website, you consent to our cookie collection. More information about how we collect cookies is found here.