Eaton Vance Global Macro Absolute Return Fund (EAGMX)

Eaton Vance Global Macro Absolute Return Fund (EAGMX) is a nontraditional bond mutual fund. This Eaton Vance fund invests mainly in bonds, derivatives or other instruments.

Eaton Vance Global Macro Absolute Return Fund (EAGMX)

The investment aim of Eaton Vance Global Macro Absolute Return Fund is to provide total return. The mutual fund utilizes its assets to buy portfolio of securities, derivatives and other instruments to establish long and short investment exposures around the world. It generally invests in multiple countries and may have significant exposure to foreign currencies. The fund’s long and short investments mainly are sovereign exposures, including currencies, interest rates and debt instruments issued or guaranteed by sovereign entities. It is non-diversified.

fund details

Fund Profile

• Fund Inception Date: 10/30/1997
• Ticker Symbol: EAGMX
• CUSIP: 277923736
• Beta (3yr): -0.06
• Rank in category (YTD): 38%
• Category: Nontraditional Bond
• Distribution: 3.61%
• Capital Gains: 0%
• Expense Ratio: 1.32%
• Net Assets: $ 6.8 billion
• Number of Years Up: 14 years
• Number of Years Down: 1 year
• Average Duration: 0.45 year
• Annual Turnover Rate: 39%

updated on 4/23/2013

This Eaton Vance fund has total net assets of $6.8 billion. Its fund managers are John R. Baur, Eric Stein and Michael A. Cirami. They are all the Vice Presidents of Eaton Vance Management. The fund has 1.32% annual expense ratio. It also has a high dividend yield of 3.61%. The most recent dividend was distributed to its investors in February 2013 in the amount of $0.03.

Great 401k Mutual Funds for 2013 & 2014

Since the inception in 2001, this Eaton Vance Global Macro Absolute Return fund has recorded 14 years of positive return. It has its best 1 year total return in 2003 with 11.55%. The only year it has returned in negative return was in 2011 with -0.68%. The fund has 2-stars rating from Morningstar. In 2013, it also has a year-to-date return of 1.3%. Based on the load adjusted returns, it has returned 0.66% over the past 3-year and 5.65% over the past decade. The benchmark of this fund is BofA Merrill Lynch 3-Month U.S. Treasury Bill Index.

The other classes, beside the class A, are Class C (ECGMX), Class I (EIGMX) and Class R (ERGMX). The Institutional Class has 0.74% annual expense ratio. The minimum initial investment is $1,000 for either brokerage or retirement account. There is no minimum subsequent investment. The fund can be purchased from 87 brokerages. The 12b1 fee is 0.30% and the load is 4.75%.

As of December 2012, the top foreign currencies are India Rupee (6.16%), Chinese Yuan Renminbi (5.33%), Malaysian Ringgit (5.14%), Nigerian Naira (4.70%), Mexican Peso (4.68%), Serbian Dinar (4.25%), Hong Kong Dollar (3.61%), Philippine Peso (3.5%), South Korean Won (3.22%) and Taiwan New Dollar (-5.13%). The top foreign sovereign external debts are Turkey (1.97%) and Argentina (1.68%).

According to the fund prospectus, the principal risks are Foreign and Emerging Market Investment Risk, Market Risk, Derivatives Risk, Risk of Leveraged Transactions, Risks of Commodity-Related Investments, Subsidiary Risk, Tax Risk, Credit Risk, Risk of Lower Rated Investments, Geographic Risk, Short Sale Risk, Interest Rate Risk, Equity Investing Risk, Securities Lending Risk, Issuer Diversification Risk, etc.

Disclosure: No Position