Investor sentiment is grim due to the lack of clarity from President Donald Trump’s administration over its foreign tariff policy. Weak domestic economic data, along with rising geopolitical tensions, have forced investors to rethink their strategies. However, investors hope that there will be a significant reduction in import duties after trade deals with major trading partners.
The Federal Reserve, after its Federal Open Market Committee meeting, kept the interest rate unchanged in the range of 4.25-4.5% on May 7, 2025, as the risk of rising inflation persists due to the imposition of high tariffs on imports. The Fed Chairman Jerome Powell reiterated that the Fed needs clarity before making any interest rate cut decision. The Gross Domestic Product (GDP) dropped to 0.3% in Q1 2025 for the first time in three years.
The consumer sentiment index came sharply down to 52.2 in April from 57 in March marking the lowest since July 2022. The Institute of Supply Management (ISM) reported that the manufacturing PMI (purchasing managers’ index) for April contracted to 48.7% from 49% in March. It is important to note that any reading below 50% indicates a contraction in manufacturing activities. The U.S. labor market remains resilient.
Amid such market conditions, investors who wish to diversify into various asset classes but lack professional expertise in managing funds, especially in a volatile market, can consider these three mutual funds — Goldman Sachs Strategic International Equity Fund GSNPX, Goldman Sachs Technology Opportunities Fund GSJPX and Goldman Sachs Large Cap Growth Insights GMZPX.These have not only preserved investors’ wealth but also generated excellent returns in the past.
These funds have the majority of their investments in sectors such as technology, finance, retail trade, energy, utilities and industrial cyclical, which help in long-term growth and preservation of wealth.
Founded in 1988, Goldman Sachs Asset Management (GSAM) is a world-renowned investment management company. GSAM provides portfolio management, design and advisory services to individual and institutional investors worldwide.
With more than 2,000 employees, GSAM has 31 offices worldwide to serve customers’ needs. The company has a team of more than 800 investment professionals who capitalize on Goldman Sachs’ technology, risk-management skills and market insights. The house aids individuals who wish to increase their wealth through various strategic investment funds.
GSAM offers investment solutions, including fixed income, money markets, public equity, commodities, hedge funds, private equity and real estate, through proprietary strategies, strategic partnerships and open architecture programs. The company’s strategies cover various asset classes, industries and geographies.
These funds boast a Zacks Mutual Fund Rank #1 (Strong Buy), have positive three-year and five-year annualized returns, minimum initial investments within $5000, and carry a low expense ratio. Notably, mutual funds, in general, reduce transaction costs and diversify portfolios without an array of commission charges mostly associated with stock purchases (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
Goldman Sachs Strategic International Equity Fund invests most of its assets, along with borrowings, if any, in a diversified equity portfolio of dividend-paying issuers from non-U.S. companies, including emerging market countries. GSNPX advisors also invest in exchange-traded funds (ETFs), futures and other instruments with similar economic exposures.
Alexis Deladerri're has been the lead manager of GSNPX since Feb. 28, 2012. Most of the fund’s exposure was in companies like HSBC Holdings (4.1%), Iberdrola (3.9%) and Rio Tinto (3.9%) as of Oct. 31, 2024.
GSNPX’s three-year and five-year annualized returns are almost 10.6% and 15.2%, respectively. GSNPX has an annual expense ratio of 0.82%.
To see how this fund performed compared to its category and other 1, 2, and 3 Ranked Mutual Funds, please click here.
Goldman Sachs Technology Opportunities Fund invests most of its assets, along with borrowings, if any, equity securities of domestic and foreign technology companies.GSJPX advisors choose to invest in companies that may benefit from the advancement of technology.
Steven M. Barry has been the lead manager of GSJPX since Oct. 1, 1999. Most of the fund’s exposure was in companies like NVIDIA (9.1%), Microsoft (8.8%) and Alphabet (8.1%) as of Nov 30, 2024.
GSJPX’s three-year and five-year annualized returns are almost 9.1% and 17.1%, respectively. GSJPX has an annual expense ratio of 0.87%.
Goldman Sachs Large Cap Growth Insights fund invests most of its assets, along with borrowings, if any, in a broadly diversified portfolio of large-cap domestic and foreign equity investments that are traded in the United States. GMZPX advisors may also invest in fixed-income securities.
Sharanya Srinivasan has been one of the lead managers of GMZPX since Feb. 29, 2024. Most of the fund’s exposure was in companies like Apple (12.7%), Microsoft (12%) and NVIDIA (10.9%) as of Oct 31, 2024.
GMZPX’s three-year and five-year annualized returns are almost 8.7% and 19%, respectively. GMZPX has an annual expense ratio of 0.52%.
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