It is painfully clear that many investing sites operate at the lowest common denominator level. They might rely on mechanical articles written to a pretty crude template; you could refer to our analysis of Zacks as an example.
(The robo-writers are everywhere! February 2020) Or they accept scammy articles pushed by article farms, “professional grade, custom written articles specific to your site’s mission!” MFO gets 1-3 of those offers daily, including articles from people who want to tell you about funeral expenses and gun safety.
I wanted to know if you accept Guest Posts on mutualfundobserver.com
I have clients within the iGaming and Sports Betting industry that would be interested.
Please can you let me know the following:
- Article will not be marked as sponsored
- Article will be permanent
- Link will be do-follow
Inevitably, the next frontier will simply be relying on free, nearly intelligent software packages such as ChatGPT – “an artificial intelligence chatbot” – to write articles for them. ChatGPT scrapes other websites for data and phrasing, then assembles its findings in a conversational format. ChatGPT exercises no judgment, does not engage in fact-checking, and relies on sources of unverifiable reliability.
But it is free.
And it does write more coherently than 90% of the pay-to-play writers that many sites rely on. To help MFO readers get a sense of what the future of bad investment journalism looks like, Chip decided to have a conversation with ChatGPT on your behalf. Her subject: investing in actively managed emerging markets mutual funds. Her questions appear in beige boxes, and the chatbot’s responses are indented in blue.
When it comes to investing in emerging markets, many investors prefer actively managed mutual funds. These funds are managed by professional fund managers who actively pick and choose the stocks in the fund’s portfolio. The goal of these fund managers is to outperform the market and generate higher returns for their investors.
Emerging markets are countries that are experiencing rapid economic growth and industrialization. These countries are often characterized by a growing middle class, a young and dynamic population, and a burgeoning consumer market. Some examples of emerging markets include China, India, Brazil, Russia, and South Africa.
Emerging markets can be volatile and unpredictable … this is where actively managed funds can come in handy since they are managed by experienced professionals who have a deep understanding of emerging markets and the risks associated with them.
Investing in emerging markets can be an exciting opportunity for investors looking to diversify their portfolio and potentially capture higher returns. However, investing in these markets can also be challenging due to the higher level of risk associated with them. Emerging markets can be volatile and unpredictable, and political instability, currency fluctuations, and regulatory changes can all have a significant impact on the performance of investments in these markets.
This is where actively managed mutual funds can come in handy. These funds are managed by experienced professionals who have a deep understanding of the emerging markets and the risks associated with them. These managers conduct thorough research and analysis to identify investment opportunities and manage the risks associated with them.
One of the biggest advantages of actively managed mutual funds is that they provide investors with access to a diversified portfolio of emerging market investments. These funds typically invest in a range of different companies and industries, which helps to spread out the risk associated with investing in these markets. This means that if one company or industry underperforms, the impact on the overall performance of the fund may be limited.
Actively managed mutual funds provide investors with the opportunity to generate higher returns than they would with a passive investment strategy.
Another advantage of actively managed mutual funds is that they provide investors with the opportunity to generate higher returns than they would with a passive investment strategy. The goal of these funds is to outperform the market, and many fund managers have a proven track record of doing just that. Of course, past performance is not a guarantee of future returns, but the experience and expertise of these fund managers can be a valuable asset for investors looking to invest in emerging markets.
That being said, it’s important to keep in mind that actively managed mutual funds come with higher fees than passive index funds. These fees are typically higher because of the additional research and analysis that goes into managing the fund. Investors should carefully consider the fees associated with a particular fund before investing to ensure that they are comfortable with the costs.
It’s also worth noting that actively managed mutual funds can be more volatile than passive index funds. Because the fund manager is actively choosing which stocks to invest in, the performance of the fund can be more closely tied to the performance of individual companies or industries. This means that if a particular company or industry experiences a downturn, the fund’s performance may suffer as a result.
When choosing an actively managed mutual fund for investing in emerging markets, investors should look for funds that have a strong track record of performance and experienced fund managers with a deep understanding of the markets they are investing in. They should also consider the fees associated with the fund and ensure that they are comfortable with the level of risk associated with investing in emerging markets.
In conclusion, actively managed mutual funds can be a valuable tool for investors looking to invest in emerging markets. These funds provide access to a diversified portfolio of investments, as well as the expertise and experience of professional fund managers. However, investors should carefully consider the fees associated with these funds and be prepared for a higher level of volatility than passive index funds. With the right research and due diligence, investors can potentially generate higher returns and diversify their portfolio by investing in actively managed emerging markets mutual funds.
Certainly, there are a number of highly rated emerging market mutual funds available in the market today. Here are three that investors may want to consider:
- Vanguard Emerging Markets Stock Index Fund (VEIEX) – This actively managed mutual fund from Vanguard has an expense ratio of 0.32% and a minimum investment of $3,000. The fund invests in a diversified portfolio of emerging market stocks and has a long-term track record of solid performance.
- T. Rowe Price Emerging Markets Stock Fund (PRMSX) – This fund from T. Rowe Price has an expense ratio of 0.95% and a minimum investment of $2,500. The fund is managed by a team of experienced professionals who conduct in-depth research to identify promising investment opportunities in emerging markets.
- Fidelity Emerging Markets Fund (FEMKX) – This actively managed mutual fund from Fidelity has an expense ratio of 1.08% and a minimum investment of $2,500. The fund invests in a diversified portfolio of emerging market stocks and has a strong track record of performance over the long term.
Of course, it’s important for investors to conduct their own due diligence and research before investing in any mutual fund, including those focused on emerging markets. Factors to consider when evaluating mutual funds may include the fund’s historical performance, expense ratios, minimum investment requirements, and the experience and expertise of the fund’s management team. By carefully evaluating these factors and choosing a fund that aligns with their investment goals and risk tolerance, investors can potentially generate solid returns by investing in emerging market mutual funds.
Certainly, here are three emerging market mutual funds that have launched in the past year:
- JPMorgan Emerging Markets Equity Fund – This actively managed mutual fund from JPMorgan was launched in January 2022 and has an expense ratio of 1.00%. The fund invests in a diversified portfolio of emerging market equities and is managed by a team of experienced professionals.
- American Funds Emerging Markets Fund – This actively managed mutual fund from American Funds was launched in October 2021 and has an expense ratio of 1.22%. The fund invests in a diversified portfolio of emerging market stocks and is managed by a team of experienced investment professionals.
- BlackRock Emerging Markets Flexi Dynamic Fund – This actively managed mutual fund from BlackRock was launched in December 2021 and has an expense ratio of 1.55%. The fund invests in a diversified portfolio of emerging market equities and uses a flexible approach to adjust its holdings based on changing market conditions.
It’s worth noting that new mutual funds may not have a long track record of performance, which can make it difficult for investors to evaluate their potential for generating returns. Additionally, new mutual funds may have higher expense ratios as they work to establish themselves in the market. As such, investors should carefully evaluate the potential risks and rewards of any new mutual fund before making an investment decision.
About that BlackRock Fund it’s recommending: so far as we can tell, it doesn’t exist. The SEC has never heard of it. BlackRock does have a Flexi Dynamic Bond Fund, but it’s… well, bonds rather than equities and launched in 2013, not 2021. And it is a fund strictly for European investors. Though it might have added a share class in 2021?
Likewise, that “American Funds” fund doesn’t exist.
On the upside, JP Morgan Emerging Markets Equity Fund does exist (score one for chatbot!!) … but it didn’t launch in 2022. The fund launched in 1993.
Since bots don’t (yet) lie, we know that something, somewhere, made it look like these new funds existed … sort of, possibly, somewhere, or not. ChatGPT cannot judge what it scrapes and cannot be forced to explore where it got this crap. It can only do what it’s written to do.
The Investors Guide to Cyber-Safety
- Ask “what reason is there to trust this source?” What are their qualifications, and what’s their motive for writing it? Are they trying to get you to buy something they’ll benefit from? Are they just trying to get clicks? Are they the desperate representative of a failing enterprise that they’re trying to prop up?
- Ask “who is paying for this work?”
- If you wouldn’t trust them to spend time alone with your children, don’t click on their links.
If your answer to either is “I don’t know,” run away. Do not read the article. Do not reward the site. And, especially with Question 2, if you answer “I don’t know,” then you’re actually saying, “I am, I just don’t know how. Yet.”
For investors and other readers, the lesson is clear. Read people who have earned your trust. Period. Do not surrender to the temptation to read articles from “Yahoo News” in your news feed. Reddit is not a reliable source, it’s a mob. Do not rely on social media to vet and assess; that’s not what they do.
Often “people who have earned your trust” charge for their services. If you’ve got money at risk, pay the d**ned subscription fee. It will be infinitely less costly than relying on “free stuff I found on the web.”