Forrest For The Trees

Barron's Online has an interview with Judith Saryan who manages the Eaton Vance Utilities Fund (EVTMX). I have seen Ms. Saryan interviewed on CNBC every so often as well.

According to the article the fund has a 5.75% load. Also according to the article and Yahoo Finance the fund yields 2.25%. The yield lags iShares Utilities (IDU) and the Utilities Sector SPDR (XLU) which yield 2.63% and 2.92% respectively.

Since the inception of the ETFs the value added by EVTMX ebbs and flows. In looking at many different time periods there is no clear performance advantage. Depending on when you might have bought, either the OEF lagged or one of the ETFs lagged. There have been a couple of entry points where the 5.75% load was made back (via outperformance) and times where it was not.

In trying look ahead I'm not sure an investor could have a reasonable expectation that the OEF could outperform. The answer may just boil down to personal preference regarding loads.

I use IDU for accounts where single stock exposure is not appropriate.