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7 “Best of the Best” Mutual Funds to Buy

InvestorPlace Logo By Kent Thune of InvestorPlace | Slide 1 of 8: <br>Arriving at a short list of the best mutual funds isn't easy if you do it the right way, which is to begin with the entire universe of funds, use multiple screens to eliminate the worst, and then choose the best of what remains.<br><br> Screening out mutual funds can be done by a number of different means and many of them can be quite time consuming, especially considering the fact that there are over 18,000 mutual funds in the entire investment universe.<br><br> For our list, we took a bit of a shortcut, albeit a good one: We reviewed a recent list of <a href="http://news.morningstar.com/articlenet/article.aspx?id=825546">43 mutual funds selected by Morningstar</a> and then handpicked seven to share with our readers.<br><br> Here's just a handful of the several screens Morningstar used to arrive at what they consider to be "43 fantastic funds:"<br><br> Cheapest 20% of mutual funds by fund category.<br><br> Management invests at least $1 million of their own money.<br><br>Morningstar risk rating is below the High level.<br><br> Returns are above the fund's benchmark during the manager's tenure.<br><br> We further screened out the funds that are closed to new investors and selected just one fund from seven diverse categories.<br><br><a href="https://investorplace.com/2017/09/7-dependable-mutual-funds-for-retirement/">7 Dependable Mutual Funds for Retirement</a><br><br> So here are the seven best funds narrowed from Morningstar's list:


Arriving at a short list of the best mutual funds isn't easy if you do it the right way, which is to begin with the entire universe of funds, use multiple screens to eliminate the worst, and then choose the best of what remains.

Screening out mutual funds can be done by a number of different means and many of them can be quite time consuming, especially considering the fact that there are over 18,000 mutual funds in the entire investment universe.

For our list, we took a bit of a shortcut, albeit a good one: We reviewed a recent list of 43 mutual funds selected by Morningstar and then handpicked seven to share with our readers.

Here's just a handful of the several screens Morningstar used to arrive at what they consider to be "43 fantastic funds:"

--Cheapest 20% of mutual funds by fund category.

--Management invests at least $1 million of their own money.

--Morningstar risk rating is below the High level.

--Returns are above the fund's benchmark during the manager's tenure.

--We further screened out the funds that are closed to new investors and selected just one fund from seven diverse categories.

7 Dependable Mutual Funds for Retirement

So here are the seven best funds narrowed from Morningstar's list. Click ahead to see them.
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