4 Top-Rated Touchstone Mutual Funds To Invest In

Touchstone seeks to “help investors achieve their financial goals by providing access to a distinctive selection of institutional asset managers who are known and respected for proficiency in their specific area of expertise.” The company provides financial services to its clients with the help of around 18 sub-advisors including Analytic Investors LLC and Apex Capital Management Inc. As of Apr 30, Touchstone Investments managed $15.6 billion of assets (excluding money market instruments), invested in a wide range of mutual funds. These mutual funds are managed by equity and fixed income funds as well as domestic and foreign funds.

Below we share with you four top-rated Touchstone mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of Touchstone funds.

Touchstone Dynamic Diversified Income Y TBAYX is a "fund-of-funds." TBAYX invests in a wide range of underlying mutual funds including both equity and fixed income focused mutual funds. Most of the underlying funds, in which TBAYX invests its assets, are expected to be affiliated. Touchstone Dynamic Diversified Income Y has year-to-date returns of 8.7%.

Nathan Palmer is one of the lead fund managers of TBAYX since 2015.

Touchstone Active Bond Y TOBYX invests the lion’s share of its assets in bonds including government as well as corporate debt securities, and mortgage-related securities. TOBYX may also invest a maximum of 20% of its assets in debt securities that are issued by foreign entities. Touchstone Active Bond Y has year-to-date returns of 1%.

TOBYX has an expense ratio of 0.65% compared with the category average of 0.81%.

Touchstone Emerging Markets Small Cap Fund Class Y TEMYX seeks growth of capital. TEMYX invests the bulk of its assets in small-cap companies based in emerging markets. According to the fund, small-cap companies are those, which either have market-cap below that of the largest company in the MSCI Emerging Markets Small Cap Index or less than $5 billion, whichever is greater. Touchstone Emerging Markets Small Cap Fund Class Y has year-to-date returns of 11.2%.

As of September 2016, TEMYX held 94 issues with 1.92% of its assets invested in Geely Automobile Holdings Ltd.

Touchstone Value Y TVLYX invests primarily in equity securities of mid- and large-cap companies. TVLYX seeks capital appreciation over the long run. The fund invests in securities of companies that are believed to be undervalued. TVLYX may invest not more than 15% of its assets in securities of companies located in foreign lands. Touchstone Value Y has year-to-date returns of 6%.

TVLYX has an expense ratio of 0.83% compared with the category average of 1.15%.

To view the Zacks Rank and past performance of all Touchstone mutual funds, investors can click here to see the complete list of Touchstone funds.

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