Logo



LUTAX - Columbia US Treasury Index A

Don't let mutual funds siphon away your returns.
Get our FREE Report: "Index Funds and ETFs – A Smarter Way To Invest"
Your Mutual Fund

Columbia US Treasury Index A (LUTAX)
Expense Ratio: 0.45%
Expected Lifetime Fees: $14,191.30


The Columbia US Treasury Index A fund (LUTAX) is a Intermediate Government fund started on 11/25/2002 and has $387.50 million in assets under management. The current manager has been running Columbia US Treasury Index A since 5/25/2010. The fund is rated by Morningstar. In addition to trading fees and broker commissions, this fund has 12b-1 fees of 0.25%

MarketRiders Prefers The Following ETF

iShares Barclays 7-10 Year Treasury (IEF)
Expense Ratio: 0.15%
Expected Lifetime Fees: $4,881.99


The iShares Barclays 7-10 Year Treasury (IEF) is an Exchange Traded Fund. It is a "basket" of securities that index the Intermediate Government investment strategy and is an alternative to a Intermediate Government mutual fund. Fees are very low compared to a comparable mutual fund like Columbia US Treasury Index A because computers automatically manage the stocks.




The Following Intermediate Government Funds Have Lower Fees Than Columbia US Treasury Index A (LUTAX). Why are these metrics important?
Mutual Fund Name Ticker Symbol Turnover Assets (M) Annual Fees
American Century Ginnie Mae Instl AGMNX 130.0% 1,900 0.36%
American Century Government Bond Instl ABTIX 127.0% 1,600 0.28%
American Funds US Government Sec F-2 GVTFX 212.0% 7,200 0.38%
American Funds US Government Sec R5 RGVFX 212.0% 7,200 0.34%
American Funds US Government Sec R6 RGVGX 212.0% 7,200 0.29%
Columbia US Treasury Index Z IUTIX 106.0% 388 0.20%
DFA Intermediate Govt Fixed-Income I DFIGX 16.0% 2,800 0.12%
Federated Mortgage Instl FGFIX 222.0% 299 0.39%
Federated Total Return Govt Bd Instl FTRGX 103.0% 1,300 0.31%
Fidelity Spartan Interm Tr Bd Idx Inv FIBIX 76.0% 1,200 0.20%
Fidelity Spartan Interm Trs Bd Idx Advtg FIBAX 76.0% 1,200 0.10%
Goldman Sachs US Mortgages Inst GSUIX 1.0% 344 0.37%
Northern Institutional US Trs Idx A BTIAX 64.5% 138 0.26%
PIA MBS Bond PMTGX 122.0% 174 0.02%
Vanguard GNMA Adm VFIJX 189.0% 39,200 0.11%
Vanguard GNMA Inv VFIIX 189.0% 39,200 0.21%
Vanguard Interm-Term Treasury Adm VFIUX 273.0% 6,500 0.10%
Vanguard Interm-Term Treasury Inv VFITX 273.0% 6,500 0.20%
Vanguard Interm-Tm Govt Bd Idx Instl VIIGX 41.0% 286 0.09%
Vanguard Intermediate-Term Government Bond Index Fund Signal Shares VSIGX 41.0% 286 0.13%



Search for a mutual fund by symbol or name:

x
Why Are These Metrics Important?


Turnover
Turnover represents how much of a mutual fund's holdings are changed over the course of a year through buying and selling. Active mutual funds have an average turnover rate of about 85%, meaning that funds are turning over nearly all of their holdings every year. A high turnover means you could make lower returns because: 1) buying and selling stocks costs money through commissions and spreads and 2) the fund will distribute yearly capital gains which increases your taxes. Look for funds with turnover rates below 50%. For comparison, ETF turnover rates average around 10% or lower.

Assets
Generally, smaller funds do better than larger ones. The more assets in a mutual fund, the lower the chance that it will beat its index. Managers outperform an index by choosing stocks that are undervalued. In order to find these undervalued stocks, the manager has to know more than his competitors to develop an "edge." There are only a finite number of stocks a mutual fund manager can reasonably analyze and actively track to gain such a competitive edge. When the fund has more assets, the manager must analyze large companies because he needs to take larger positions. Large companies are more efficiently priced in the market and it becomes increasingly difficult to get an edge.

}