Paul Ryan's Jumbled Mutual Fund Portfolio
Of the Ryans' current international funds, I will eliminate most, including Janus Worldwide(JANWX) . The fund has gone through a series of managers in recent years while compiling an uninspiring record. The current manager has been on the job for a year, and it is too soon to tell how the fund will fare. A better choice is Scout International(UMBWX) , which has a veteran manager who has achieved strong returns while taking modest risk.During the past 10 years, Scout returned 9.1% annually, outdoing 85% of peers in the foreign large growth category. The fund buys rock-solid blue chips with healthy growth prospects. While the Ryans currently have up to $15,000 in Scout, I will put 20% of the model portfolio into the international fund.
Among the Ryans' large cap holdings is Hartford Capital Appreciation(ITHAX) . The fund has a decent long-term record, but in recent years it has been volatile and suffered in downturns. For steadier large-cap performance, I will put 15% of assets in Hartford Dividend & Growth(IHGIX) , a large value fund, and 15% in Fidelity Contrafund, a champion in the large growth category . Both those funds are among the steadier members of their categories.
The Ryans hold two midcap funds, Hartford Midcap (HFMCX) and Neuberger Berman Genesis(NBGNX) . I will eliminate Hartford, which just changed managers, and put 10% of assets in the Neuberger fund, which has a veteran management team that has limited losses in downturns while delivering strong long-term returns.By sticking with a few solid funds like Neuberger, the Ryans could protect their nest eggs and perhaps generate enough income to cover the costs of serving in high office.
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