Top 5 Technology Mutual Funds - Best of Funds

Technology is clearly a long term growth prospect for investors willing to remain invested and should continue to outperform the market over time. Many have viewed the sector with skepticism since the tech bubble burst more than a decade ago, but times have clearly changed for the better. Valuations are now based on stronger fundamentals and careful selection of investments has yielded good long term returns for many funds. Technology mutual funds greatly reduce the volatility inherent in this sector through by carefully selecting securities to create widely diversified portfolios.

Below we will share with you 5 top rated technology mutual funds. Each has earned a Zacks #1 Rank (Strong Buy) as we expect these mutual funds to outperform their peers in the future. To view the Zacks Rank and past performance of all technology funds, then click here.

Goldman Sachs Technology Tollkeeper A (GITAX) seeks long term capital appreciation. At least 80% of its assets are invested in equity securities of Tollkeeper companies .These are companies that are positioned to benefit from the proliferation of technology. This technology mutual fund returned 17.01% in the last one year period.

The technology mutual fund has a minimum initial investment of $1,000 and an expense ratio of 1.50% compared to a category average of 1.67%.

RS Technology A (RSIFX) invests a large share of its assets in equity securities of technology companies. It concentrates on purchasing securities of small and mid-cap companies. The fund invests heavily in domestic companies but may also purchase foreign securities. The technology mutual fund has a five year annualized return of 11.53%.

The fund manager is Stephen J. Bishop and he has managed this technology mutual fund since 2001.

Wells Fargo Advantage Specialized Technology A (WFSTX) seeks capital growth over the long term. The fund invests the majority of its assets in equity securities of companies in the technology domain. The fund may utilize up to half of its assets to purchase foreign securities. The technology mutual fund has a ten year annualized return of 7.71%.

As of July 2011, this technology mutual fund held 48 issues, with 10.63% of its total assets invested in Apple, Inc.

Kinetics Internet No Load (WWWFX) primarily invests in domestic and foreign companies whose primary business operations concern the Internet and Internet-related activities. The fund purchases common stocks, convertible securities, warrants and other equity securities. This technology mutual fund has a three year annualized return of 14.16%.

The technology mutual fund has a minimum initial investment of $2,500 and an expense ratio of 1.89% compared to a category average of 1.41%.

ProFunds Internet UltraSector (INPSX) seeks to return investment results which are 150% of the daily performance of the Dow Jones Internet Composite index. A large share of the funds assets are utilized to purchase securities which are part of the index or have identical features. This technology mutual fund returned 53.91% in the last one year period.

The fund manager is Todd Johnson and he has managed this technology mutual fund since 2008.

To view the Zacks Rank and past performance of all technology mutual funds, then click here.

About Zacks Mutual Fund Rank

By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank at http://www.zacks.com/funds.