At the other end of the scale, over the period:
- domestic stock funds were down 12%
- international equity funds lost over 5%
- domestic hybrid funds dropped 6%.
The technology fund and the communications fund categories disappointed investors yet again, each sliding 28% for quarter, Morningstar reported.
Precious-metals sector funds were the best-performing mutual fund group, surging by 14% over the quarter, bringing year-to-date gains to 54%, according to figures from Morningstar.
The sector also finished as the best mutual fund category in the first quarter of 2002 and for the full-year 2001, as investors, scared off by accounting and corporate governance fiascos, fled US stocks in droves.
According to the investment research firm, the best performing precious-metals funds over the quarter were:
- US Global Investors World Precious Minerals, which gained 36%
- US Global Investors Gold Shares, which surged by 24%
- Van Eck Investors Gold, which increased 20%.
Prime Real Estate
The real estate fund category, which gained 4% over the
period, was the only US equity fund group to finish the
quarter on a positive note.
Some of the best-performing funds in this sector include:
- Security Capital European Real Estate, which rose 14%
- Morgan Stanley Institutional European Real Estate, which increased 13%
- Alpine US Real Estate Equity, which was up 10%.