The Yacktman Focused Fund (MUFT:YAFFX) is an IRA fund that seeks long-term capital appreciation and, to a lesser extent, current income. The fund invests in domestic and foreign equity securities that may include common stocks, preferred stocks, convertible preferred stocks, warrants, options and ADRs, as well as bonds.
Here are the specifics for the Yacktman Focused Fund for today’s mutual fund spotlight:
Investing Strategy: In addition to stocks, the fund may invest in investment-grade securities, convertible securities and junk bonds. Currently, 90% of the fund’s assets are in stocks, and most of the remaining assets are in cash.
Expense Ratio: The fund charges a 1.25 expense ratio and no transaction fee, making it comparably priced with other funds in the large value category. It has a Morningstar rating of five stars.
Top 5 Holdings: The top stocks in the Yacktman Focused Fund include international media conglomerate News Corp. A (NASDAQ:NWSA) at 12.84%, soft drink and snack food giant Pepsi (NYSE:PEP) at 11.46%, consumer goods manufacturer Procter & Gamble (NYSE:PG) at 8.34%, software and search engine developer Microsoft (NYSE:MSFT) at 7.56%, and soft drink manufacturer Coca-Cola (NYSE:KO) at 5.03%.
Returns: The Yacktman Focused Fund’s approximate 19% return underperformed the broader market 12-month return of about 24%. Its five-year return of 24% outperformed the Dow Jones Industrial Average’s approximate 17% return and the S&P 500’s approximate 7% return over the period.
Other Fund Statistics
- Total Assets: $3.2 billion (as of 7/21/11)
- Minimum Investment: $2,500 ($500 IRA)
- Fund manager: Donald A. Yacktman, Stephen A. Yacktman and Jason Subotky
- Manager’s Tenure: Since April 1997, December 2002 and December 2009, respectively