It seems there’s been nothing but bad investment news coming out of Europe lately, but it would be a mistake to overlook the continent’s investment potential.
Here’s what advisors say are some top picks when it comes to Europe-focused mutual funds.
Erik F. Miller, CFP, ChFC, CAS, CMC Advisers LLC, Portland, Ore.
Our firm goes with two funds for international exposure: American Funds Europacific Growth (AEGFX) and Oakmark International (OAKIX).
David Herro of Oakmark has been astounding in the last three years.
Nearly 70 percent of OAKIX is invested in Europe and he has amassed category-beating returns with minimal exposure to emerging markets.
Some of the Europe-centered or even international funds have snuck as much as 16 to 20 percent of their holdings in to emerging markets, while Herro has been pure of style and amassed better returns. Very impressive.
While Morningstar has given AEGFX, Fund of the Year honors, Herro was crowned Manager of the Decade in this category.
Gerald A. Cannizzaro, Retirement Planning Services Inc., Oakton, Va.
T. Rowe Price Emerging Eastern European & Mediterranean Fund (TREMX): 97.4 percent invested in greater Europe; annualized return since 2000 of10.82 percent; $2,500 minimum for new accounts and $1,000 for IRAs; annual management fee of 1.64 percent.
The fund was up 125.13 percent in 2009 with an excellent management company and very smart fund manager. Best I can find.