JAGTX
Janus Henderson Global Tech&Innovation-T
Harnessing Technological Advancements for Growth
The Janus Henderson Global Tech&Innovation-T (JAGTX) fund is designed to capitalize on the rapid advancements in technology, aiming for long-term capital growth. With a mandate to invest at least 80% of its net assets in companies benefiting from technological improvements, JAGTX positions itself as a leader in the tech investment space. The fund’s global approach allows it to tap into diverse markets, including the US, ensuring a broad spectrum of opportunities. This strategy is particularly appealing to investors seeking exposure to cutting-edge innovations and the potential for substantial returns.
At A Glance
Executive Summary
JAGTX offers high growth potential with a 46.68% 1-year return, focusing on tech advancements. Competitive expense ratio of 0.92%.
High growth potential with 46.68% 1-year return. Strong tech sector focus with 83.08% allocation. Diverse international exposure with 19.22% in non-US equities.
High volatility with a beta of 1.37. No yield, not suitable for income-focused investors. Significant downside risk with a max drawdown of -15.5%.
Impressive Performance Metrics
JAGTX has demonstrated remarkable performance, particularly over the past year, with a 1-year return of 46.68%. This outpaces its benchmark, the MSCI World DivAdj Index, which posted a 31.60% return over the same period. The fund’s strong performance is further highlighted by its impressive alpha of 15.04%, indicating superior risk-adjusted returns compared to the benchmark. Despite its high beta of 1.37, which suggests greater volatility, the fund’s Sharpe ratio of 0.72 reflects a favorable risk-reward balance, making it an attractive option for growth-oriented investors.
Strategic Portfolio Composition
The fund’s portfolio is heavily weighted towards the technology sector, with an 83.08% allocation, underscoring its commitment to tech-driven growth. Top holdings include industry giants like NVIDIA Corp (12.27%), Microsoft Corp (9.88%), and Apple Inc (5.51%), which are at the forefront of technological innovation. This strategic allocation not only positions JAGTX to benefit from the growth of these leading companies but also provides a diversified exposure across various tech sub-sectors, enhancing the fund’s potential for capital appreciation.
Global Diversification and Market Cap Focus
JAGTX’s investment strategy includes a significant international component, with 19.22% of its assets in non-US equities. This global diversification allows the fund to leverage growth opportunities in emerging and developed markets outside the US. Additionally, the fund’s market cap allocation is skewed towards large and extra-large companies, comprising 28.91% and 57.31% of the portfolio, respectively. This focus on larger, established companies provides a balance of stability and growth potential, appealing to investors looking for robust, long-term returns.
Competitive Expense Ratio and AUM
With an expense ratio of 0.92%, JAGTX offers a competitive cost structure compared to other funds in the tech category. This is particularly noteworthy given the fund’s strong performance metrics and strategic asset allocation. The fund’s assets under management (AUM) stand at $7,447.878 million, reflecting investor confidence and the fund’s ability to attract substantial capital. This scale not only provides operational efficiencies but also enhances the fund’s capacity to invest in high-potential opportunities across the tech sector.
Risk and Volatility Considerations
Investors should be aware of the inherent risks associated with JAGTX, particularly its high volatility, as indicated by a beta of 1.37. The fund’s maximum drawdown of -15.5% highlights the potential for significant short-term losses, which may not be suitable for risk-averse investors. However, the fund’s Treynor ratio of 10.95 suggests that it has been able to generate returns commensurate with its risk level. For investors with a higher risk tolerance, JAGTX offers the potential for substantial rewards, provided they are prepared for the accompanying volatility.
Comparative Analysis with Similar Funds
When compared to similar funds, JAGTX holds its ground with a strong 1-year return of 46.68%. While Victory Science & Technology (USSCX) boasts a higher return of 54.20%, JAGTX’s expense ratio of 0.92% is competitive, especially against USSCX’s 0.97%. Additionally, JAGTX’s focus on large-cap tech companies provides a different risk profile compared to its peers, which may have varying allocations. This makes JAGTX a compelling choice for investors seeking a balance of high returns and strategic tech exposure.
Conclusion: A Prime Choice for Tech Enthusiasts
In conclusion, the Janus Henderson Global Tech&Innovation-T (JAGTX) fund stands out as a prime choice for investors eager to capitalize on technological advancements. Its strong performance, strategic portfolio composition, and global diversification make it an attractive option for those with a high-risk tolerance seeking substantial growth. While the fund’s volatility may deter conservative investors, its potential for high returns and competitive expense ratio offer compelling reasons for tech enthusiasts to consider JAGTX as a key component of their investment portfolio.
Similar Securities
PRSCX: TRPrice Science & Technology-Inv | High Growth Tech Fund
PRSCX offers high growth with a 48.14% 1-year return, focusing on tech giants like Apple and Meta. Competitive expense ratio of 0.81%.
FTCHX: Invesco Technology-Inv | High Growth Tech Fund
FTCHX offers a robust 48.08% 1-year return with a focus on tech giants like NVIDIA and Apple, making it a top choice for growth-focused investors.
BGSAX: BlackRock Technology Opportunities Fund | High-Growth Tech Investment
BGSAX offers high growth potential in tech sectors with a 47.65% 1-year return, focusing on large-cap tech stocks like NVIDIA and Microsoft.
PGTDX: Putnam Global Technology-C | High Growth Tech Fund
PGTDX offers high growth potential with a focus on tech stocks, boasting a 38.43% 1-year return but with a high 1.86% expense ratio.
PRGTX: TRPrice Global Technology-Inv | High-Growth Global Tech Fund
PRGTX offers high growth with a 44.52% 1-year return, focusing on global tech stocks. Competitive expense ratio of 0.94%.
Futher Reading
https://www.morningstar.com/funds/xnas/JAGTX/quote
https://finance.yahoo.com/quote/JAGTX/”>Yahoo: Janus Henderson Global Tech&Innovation-T
https://ftcloud.fasttrack.net/web/chart/JAGTX
https://www.wsj.com/market-data/quotes/mutualfund/JAGTX
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