While the 12% return by Real Estate Funds made it the leading category at the start of the new year, our International Funds were even better. The Julius Baer International Equity (BJBIX) Mutual Fund topped our Favorite Mutual Fund list with a 14% return.
Back in the USA, Small Cap Mutual Funds were the best domestic stock category this quarter. While a 9% return for the RS Partners Fund (RSPFX) led these funds, our top US performer was ABN AMRO Mid Cap (CHTTX).
A list of our Favorite Mutual Funds for 2004 was updated in January with information through December 2003.
Asset Allocation for 2nd Quarter 2004
After a rather uneventful quarter we do not have any changes in our model porfolios. In fact, all of our portfolio choices are the same as they were at the beginning of the year.
While we have not changed our asset allocations for the new quarter, you still may want to consider some changes to your portfolio. You may recall that we added several funds to our model portfolios last quarter to provide additional diversification. Now may be a good time to rebalance your portfolio. If you have all of your small cap allocation in only one mutual fund, consider selling some of your position to open a new position in a second small cap mutual fund, or adding any new small cap money to a second small cap mutual fund.