Blue-chip and dividend-paying mutual funds turned out to be among the best investments in 2006, bucking their tradition of trailing the S&P 500, Associated Press reports. And emerging market mutual funds continued their strong run.
Meanwhile, high-growth industries, such as technology, delivered weaker than usual returns.
U.S. diversified equity funds returned 12.9% in 2006, slightly below the S&P 500’s 13.6% and the S&P 500 total return’s 16.3%, according to
By comparison, the best-performing mutual fund sector was emerging market mutual funds, up 31.9% for the year. Among country-specific funds, Latin American funds rose 43.7% and Asia-Pacific funds, ex-Japan, went up 29.6%.
