Founded 40 years ago, USAA Investment Management Company as of Jun 30, 2018 had $72.1 billion of assets under management invested in more than 50 mutual funds. All the mutual funds under the fund family bear no sales load.
USAA allocates assets across a wide range of mutual fund categories including both equity and fixed-income funds. The company seeks to follow military values — Service, Loyalty, Honesty and Integrity — to offer financial services, including brokerage services and discretionary asset management.
Below we share with you three top-ranked USAA mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) is expected to outperform its peers in the future. Investors can click here to see the complete list of USAA funds.
USAA Aggressive Growth (USAUX – Free Report) seeks growth of capital. USAUX primarily invests in equity securities of domestic companies with large-size market capitalization. The fund focuses on acquiring securities of companies that are believed to have above-average growth prospects. It may also invest a maximum of 20% of its assets in securities of foreign companies, including those from emerging markets. USAA Aggressive Growth has three-year annualized returns of 11.6%.
USAUX has an expense ratio of 0.75% as compared with the category average of 1.08%.
USAA Intermediate-Term Bond (USIBX – Free Report) invests the bulk of its assets in a wide variety of debt securities with maturity between three and 10 years. USIBX invests mainly in dollar-denominated investment grade bonds, but may invest around one-tenth of its assets in high-yield debt securities. The fund seeks a high level of income without unnecessary risks to principal. USIBX has three-year annualized returns of 0.3%.
Julianne Bass is one of the fund managers of USIBX since 2007.
USAA Tax Exempt Intermediate-Term (USATX – Free Report) seeks to offer interest income free from federal income tax. The fund invests a large chunk of its assets in tax-free investment-grade securities. USATX maintains a dollar-weighted portfolio, with average maturity ranging from three to 10 years. USAA Tax Exempt Intermediate-Term has three-year annualized returns of 1.8%.
As of September 2018, USATX held 1,028 issues with 0.89% of its assets invested in HARRIS CNTY TEX INDL DEV CORP 5%.
To view the Zacks Rank and past performance of all USAA mutual funds, investors can click here to see the complete list of USAA funds.
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