ARMCX vs TRHRX Fund Comparison

A comparison between ARMCX and TRHRX based on their expense ratio, growth, holdings and how well they match their benchmark performance.

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Minafi's Take on ARMCX vs TRHRX

Here's an in depth look at the differences between AllianzGI Global Natural Resources Fund Class C ($ARMCX) and T. Rowe Price Target 2040 Fund ($TRHRX).

To start off, here's a look at the basics of each fund. Keep an eye on the FI Score. That's a custom score from 0 to 100 that we generate based on how good this fund is for the casual investor. Most investors only need a handful of total funds in their portfolio. The higher the score, the more likely this is one of those few. Score alone isn't enough! Keep reading on to see how different (or perhaps similar) these two funds are.

  • armcx
  • Mutual Fund
  • Sector Equity
  • Basic Materials

AllianzGI Global Natural Resources Fund Class C

Expenses: 2.18% (Better than 0% of similar funds)

This is a bad choice for a Basic Materials Sector Equity fund. See why »

63% FI Score
  • trhrx
  • Mutual Fund
  • Allocation
  • Target-Date

T. Rowe Price Target 2040 Fund

Expenses: 0.17% (Better than 1% of similar funds)

This is an OK choice for a Target-Date Allocation fund. See why »

Both $ARMCX and $TRHRX are categorized as Mutual Funds. Mutual funds are often offered by 401(k) platforms and are essentially the same as ETFs. Mutual funds are generally offered by an investment platform – Fidelity has Fidelity mutual funds, Vanguard has Vanguard mutual funds. Mutual funds are ideal for retirement investing since you can invest any amount. That allows you to invest every last cent and benefit from the market.

The biggest disadvantage of mutual funds is that you're usually limited to the funds on your investment platform. If you're investing on Fidelity, you'll want to pick Fidelity mutual funds (or any ETF). Same with Vanguard. Some platforms offer mutual funds from other platforms, but they may charge a purchse or redemption fee. I'd recommend using the same platform as your funds – or stick to ETFs.

To learn more about the difference between these two, you can read about the difference between ETFs and Mutual Funds.

When evaluating a fund, the first things I look at are:

  • What it invests in
  • How much it charges in fees
  • How large the fund is

Let's look into these criteria one by one and see if either of these funds stands out.

Fund Holdings Comparison

Minafi's FI Score algorithm takes into account the category and market. The more niche a fund is, the lower the score. This doesn't mean it's a worse fund, but it does mean you should stop and make sure this a fund you need to diversify your portfolio.

ARMCX TRHRX
Market Score 0.3 /10 4.1 /10
Category Score 0.0 /10 5.0 /10
Total 0.3 9.1

A score of 10 means this is a solid market and category that almost every investor will want to have investments in. The lower the score, the more specific the investment. These scores are based on when most investors would add these funds to their portfolio. A score of 10 means that this fund (or one like it) belongs in a three-fund portfolio. The lower the score, the farther down in your portfolio a fund would go.

Winner: $TRHRX

Fee Comparison

Fees are one of the biggest killers of portfolio growth. The difference between a 2% fee and a 0.04% fee over 30 years can result in your portfolio having half the total value!

If you're just getting started investing and learning how fees impact your portfolio, I'd encourage you to read through my free investment course (specifically '2.2 - All About Fees') where I go over all the different types of fees you can be charged and how to lower them.

For these two funds, ARMCX has an expense ratio of 2.18% while TRHRX has an expense ratio of 0.17%.

Winner: $TRHRX

Fund Size Comparison

Both ARMCX and TRHRX have a similar number of assets under management. ARMCX has 6.52 Million in assets under management, while TRHRX has 224 Million.

Minafi categorizes both of these funds as small funds. Fund size is a good indication of how many other investors trust this fund. A large fund by itself doesn't mean it's a good fund, but it is one thing to consider when figuring out how to choose the right fund.

Winner: tie

Which Should You Choose? ARMCX or TRHRX?

Comparing these two funds isn't an apples to apples comparison. ARMCX is a Sector Equity Basic Materials fund, while TRHRX is a Allocation Target-Date fund.

If you're aiming to build a diversified, low-fee, tax-optimized portfolio you likely won't be choosing between these two funds since they're different enough.

Running both of these funds through Minafi's FI Score algorithm, gives ARMCX a score of 3 and TRHRX a score of 63.

Winner: Neither, I'd research more funds if you're looking to invest for retirement.

$ARMCX

AllianzGI Global Natural Resources Fund Class C

3

Read More
Ratings
Rating Type Rating
Expense Ratio Score 1 /10
Expense Rating 0 /10
Market Score 0 /10
Category Score 0 /10
Overview
Overview Details
Fund Type Mutual Fund
Inception Date Jun-30-2004
Exchange NMFQS
Expense Ratio 2.180%
Net Assets 6.52 Million
Yield 2.60%
Holdings
Description Info
Market Sector Equity
Category Basic Materials
Sectors
  • Basic Materials 37.90%
  • Communication Services 0.00%
  • Consumer Cyclical 2.97%
  • Consumer Defensive 0.00%
  • Energy 30.74%
  • Financial Services 0.00%
  • Healthcare 0.00%
  • Industrials 10.66%
  • Real Estate 0.75%
  • Technology 8.00%
  • Utilities 8.98%
Regions
  • Africa/Middle East 0.28%
  • Asia Developed 2.07%
  • Asia Emerging 0.65%
  • Australasia 4.13%
  • Europe Developed 17.29%
  • Europe Emerging 0.02%
  • Japan 2.43%
  • Latin America 0.86%
  • North America 58.67%
  • United Kingdom 13.60%

$TRHRX

T. Rowe Price Target 2040 Fund

63

Read More
Ratings
Rating Type Rating
Expense Ratio Score 8 /10
Expense Rating 8 /10
Market Score 4 /10
Category Score 5 /10
Overview
Overview Details
Fund Type Mutual Fund
Inception Date Aug-20-2013
Exchange NMFQS
Expense Ratio 0.170%
Net Assets 224 Million
Yield 1.75%
Holdings
Description Info
Market Allocation
Category Target-Date
Sectors
  • Basic Materials 4.03%
  • Communication Services 9.14%
  • Consumer Cyclical 9.76%
  • Consumer Defensive 6.46%
  • Energy 3.13%
  • Financial Services 15.21%
  • Healthcare 15.34%
  • Industrials 9.88%
  • Real Estate 3.33%
  • Technology 19.29%
  • Utilities 4.43%
Regions
  • Africa/Middle East 0.70%
  • Asia Developed 3.33%
  • Asia Emerging 5.52%
  • Australasia 0.66%
  • Europe Developed 11.43%
  • Europe Emerging 0.46%
  • Japan 5.14%
  • Latin America 1.06%
  • North America 67.24%
  • United Kingdom 4.45%

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