A Load of Crap

Another article on commodities funds, this time in Kiplinger's, that ignores Oppenheimer Real Asset Fund (QRAAX),.

Why?

Well, obviously, because it's a LOAD-fund. (Pause for the Suze Orman-induced groan of disapproval.) That's total crap. Because the fund has astronomical returns and is only one of two open-end commodity funds that actually track the commodities indices, rather than buy commodity related stocks (If I want Exxon, I'll buy Exxon. When I want crude oil, I want crude oil.)

The other fund, PIMCO RealReturn Commodity Fund (PCRAX), gets mentioned because it has a no-load D-share. But PIMCO is more metals focused and Oppy is more natural resource focused, so one really doesn't replace the other. I reccomend a 5% allocation to each; that's a ten percent allocation (as a hedge) of the total portfolio.

This bias against load funds (God forbid a broker should make a living!) is preposterous. When the WSJ reviews funds they always leave out the load funds, even when their performance--after the load--beats the others they reccomend. Moose kah-kah, I say.