JAGRX
Janus Henderson VIT Research-Inst
Strategic Focus on Large-Cap Growth
The Janus Henderson VIT Research-Inst (JAGRX) is a mutual fund that aims to achieve long-term capital growth while preserving capital. It primarily invests in large-sized companies, with a focus on those within the Russell 1000 Index. The fund employs a bottom-up investment approach, meticulously analyzing individual companies to identify attractive investment opportunities. This strategy is particularly appealing to investors seeking exposure to large-cap growth stocks, as it allows for a detailed assessment of each company’s potential for growth and alignment with the fund’s investment policies.
At A Glance
Executive Summary
JAGRX excels with a 45.01% 1-year return, focusing on large-cap tech stocks with a competitive 0.57% expense ratio.
High 1-year return of 45.01%. Strong tech sector allocation at 49.18%. Competitive expense ratio of 0.57%.
Low yield of 0.03%. High beta of 1.20 indicates volatility. Limited diversification outside tech sector.
Impressive Performance Metrics
JAGRX has demonstrated remarkable performance, particularly over the past year, with a 1-year return of 45.01%, significantly outperforming its benchmark, the S&P 500 Total Return Index, which returned 37.62% over the same period. This impressive performance is indicative of the fund’s effective stock selection and strategic allocation within the large-cap growth category. The fund’s annualized returns over five years stand at 18.30%, showcasing its ability to deliver consistent growth over the long term. Such performance metrics make JAGRX an attractive option for investors looking for high returns in the large-cap growth space.
Technology-Driven Portfolio Composition
A significant portion of JAGRX’s portfolio is allocated to the technology sector, which constitutes 49.18% of its holdings. This heavy investment in technology stocks, including top holdings like NVIDIA Corp, Microsoft Corp, and Apple Inc, positions the fund to capitalize on the rapid growth and innovation within the tech industry. The fund’s focus on technology aligns with current market trends, where tech companies are leading in terms of growth and market capitalization. This strategic allocation is a key driver of the fund’s strong performance and offers investors exposure to some of the most dynamic and high-performing sectors in the market.
Risk and Volatility Considerations
Investors should be aware of the risk metrics associated with JAGRX. The fund has a beta of 1.20, indicating higher volatility compared to the market. While this suggests potential for higher returns, it also implies greater risk, particularly during market downturns. The fund’s standard deviation of 4.99% and a max drawdown of -13.1% further highlight the volatility investors might experience. However, the fund’s alpha of 7.35% suggests that it has been able to generate returns above the expected market return, compensating for the higher risk. These metrics are crucial for investors to consider when evaluating the fund’s suitability for their risk tolerance.
Competitive Expense Ratio
JAGRX offers a competitive expense ratio of 0.57%, which is relatively low for a fund in the large-cap growth category. This cost efficiency is a significant advantage for investors, as lower expenses can lead to higher net returns over time. When compared to similar funds, such as the MassMutual Blue Chip Growth-I (MBCZX) with an expense ratio of 0.65%, JAGRX stands out as a cost-effective option. This competitive pricing, combined with its strong performance, makes JAGRX an appealing choice for investors seeking to maximize their investment returns while minimizing costs.
Sector and Market Cap Diversification
While JAGRX is heavily weighted towards technology, it also maintains diversification across other sectors, including healthcare (8.44%) and communications (15.05%). This diversification helps mitigate sector-specific risks and provides a balanced exposure to various market segments. Additionally, the fund’s market cap allocation is predominantly in extra-large companies (63.87%), with some exposure to large (24.36%) and medium-sized companies (10.69%). This diversified market cap strategy allows the fund to benefit from the stability of large-cap stocks while also capturing growth opportunities in mid-cap companies.
Comparison with Similar Funds
When compared to similar funds, JAGRX holds its ground with a strong 1-year return of 45.01%. For instance, the JPMorgan US GARP Equity-I (JPGSX) and Janus Henderson Research-I (JRAIX) have slightly lower returns of 44.29% and 44.73%, respectively. JAGRX’s expense ratio of 0.57% is also competitive, making it a cost-effective choice among its peers. The fund’s focus on large-cap growth stocks, particularly in the technology sector, differentiates it from other funds that may have a broader or different sector focus. This comparison highlights JAGRX’s strengths in performance and cost efficiency, making it a compelling option for growth-oriented investors.
Investor Suitability and Conclusion
JAGRX is particularly well-suited for investors with a high-risk tolerance who are seeking substantial growth potential. Its strong focus on large-cap technology stocks offers significant upside potential, albeit with higher volatility. The fund’s competitive expense ratio and impressive performance metrics make it an attractive option for those looking to capitalize on the growth of large-cap companies. However, investors should be mindful of the fund’s low yield and high beta, which may not align with income-focused or risk-averse investment strategies. Overall, JAGRX stands out as a robust choice for aggressive investors aiming to enhance their portfolio with high-growth opportunities.
Similar Securities
JAMRX: Janus Henderson Research-T | High Growth Potential in Large-Cap Stocks
JAMRX excels with a 44.58% 1-year return, focusing on tech-heavy large-cap growth stocks, outperforming its benchmark.
FKGRX: Franklin Growth-A Fund | Capital Appreciation with Industry Leaders
FKGRX offers exposure to leading large-cap equities with a focus on growth, featuring a 0.8% expense ratio and strong tech sector allocation.
TPLGX: TRPrice Inst LargeCap Core Growth-Inst | High-Return Large Cap Growth Fund
TPLGX excels with a 45.20% 1-year return, driven by top tech stocks and a 0.57% expense ratio, outperforming peers in large-cap growth.
SBLGX: ClearBridge LargeCap Growth-A | High-Return Large Cap Growth Fund
SBLGX offers high returns with a focus on large-cap tech stocks, outperforming its benchmark with a 43.11% 1-year return.
TRLGX: TRPrice LargeCap Growth-I | High Growth Potential with Top Tech Holdings
TRLGX excels with a 42.22% 1-year return, driven by top tech stocks and a 0.56% expense ratio, outperforming its benchmark.
Futher Reading
https://finance.yahoo.com/quote/JAGRX/”>Yahoo: Janus Henderson VIT Research-Inst
https://ftcloud.fasttrack.net/web/chart/JAGRX
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