All of these actively managed funds get an A for stewardship from Morningstar, thanks to their top-notch management companies and fees that are below-average for their fund category
Name, ticker, and return since inception *
Vanguard Wellesley Income (VWINX) 10.1%
Morningstar gives this balanced fund five stars for its fat yield and moderate risk. More than 60% of assets are in cash and bonds now.
Davis N.Y. Venture (NYVTX) 11.7%
Davis is a large-cap fund with a 0.85% expense ratio and gets kudos for a consistently applied investment approach since its 1969 launch.
Dodge & Cox Stock (DODGX) 10.7%
Vanguard's Jack Bogle recommends this firm "without hesitation." Morningstar likes this large-cap fund's "strong long-term record."
FPA Capital (FPPTX) 9.6%
This mid-cap fund has returned 8% a year since 1999.
Oakmark Equity & Income (OAKBX) 11.1%
Oakmark's 10-year return ranks it No. 1 in its category, and the fund has been closed and reopened at times to protect shareholders.
Diamond Hill Small Cap (DHSCX) 10.0%
This $486 million small-cap fund has been around only since 2000, and its small asset base makes it more nimble than some of its peers.
* Average annual return as of Aug. 21