Are there any Mutual Funds that have the sector funds for Oil?

Question

I'm going to soon, I don't know when. Get Mutual Funds started and I'm looking for the ones that contain Oil Companies? Long term.

Answer 1

Jennison Natural Resources Fund is a good fund with investments in various energy stocks.

You can also try the United States Oil (USO) ETF which has given the highest returns

Answer 2

There are few Sector Funds from different companies in my country, Malaysia.

My advise is you can invest in Sector Fund, but not neccesary must only invest in Oil Companies.

You should invest in Sector Funds which diversify into various sectors.

Adrian

Answer 3

This oil bubble could pop any day.  You never know.  When everyone is talking about it, it's often too late to the party.

One fund that you might find interesting is T Rowe Price New Era (PRNEX)  It holds oil companies, as well as coal companies and some big miners.   A little safer than solely oil.  

I don't know that it is the best, but one thing is that you can get started for only $50 a month if you set up automatic payments through your bank account.

Answer 4

smart move.  There are plenty of options to choose from.  First, there are the ETF index funds. You buy these like you buy stocks, from a broker.  The relative advantage of these is that they do not churn their holdings so your tax bill will be minimal until you sell and they have relatively low expense ratios.  The potential disadvantage is that most are capitalization weighted which means they are not too diversified.  You have to take the bad with the good.

PXE is one worth considering.  It contains the stocks of 30 U S exploration and production companies.  Here is a link where you can learn about it. Cap weighting is not a great problem with this one since the companies are all about the same size.

http://www.etfconnect.com/select/fundpag...

IXC contains stocks of the largest energy companies globally.  XOM make up about 15% of its holding because of it very large cap.  Here is the link to this one.

http://www.etfconnect.com/select/fundpag...

One final selection of the index funds but there are many others also. RYE is an equal weighting energy fund.  It does contain more than just oil stocks including coal and drilling stocks among other.  

Among the actively managed funds again there are many to choose from also.  There are a selection of closed end funds.  One is BGR which currently trades at a steep discount to net assets and pays a substantial dividend besides.  It invests in all forms of energy.  

http://www.etfconnect.com/select/fundpag...

Among the open end funds, a choice selection would be VGENX

https://personal.vanguard.com/us/funds/s...

Another to consider is FNARX.  This is not specifically an energy fund but it does contain a lot of energy stocks.

http://personal.fidelity.com/products/fu...