Technology Fund Asia, also called Matthews Asia Science and Technology Fund (MATFX), is a long-term capital appreciation investment fund that seeks to invest at least 80% of its net assets into the common and preferred stocks of Asian companies. There has been a rise in interest in this Fund because Asia is a leading manufacturer of technology parts for nearly every large company involved in technology such as computers, televisions, video games, smartphones, and other companies who provide IT services. This is simply the beginning of what this technology investment.
Is it worth investing in?
With any investment, comes risks. However, because the Matthews Asia Science and Technology Fund (MATFX) seeks its investment strategy by investing their assets into the common and preferred stocks of Asian companies who derive more than half of their revenues from the sale of services and products in science- and technology-related industries—Yes, this is absolutely worth investing in.
Today’s world is based around technology and it is something that is only going to rise in stocks, investments, social, and marketing popularity. In addition, Asia is the leading manufacturer of technology parts for smartphones, computes, and any gadget anyone in the world is using. This means their ability as producers is powerful and will continue to be so. This is good for the Asian market in terms of investments.
There are risks when investing in regional stocks, such as political instability, exchange rate fluctuations, and other risks that come with investing. However, investing with this high-science and technology objective, is overall, an objective that takes advantage of the present and invests in the future of technology. The Fund’s value may be affected by science and technology-related changes in the industry, but this can be an excellent strategy as the technology field is only getting better and more prosperous.
Out of 52 technology funds, the U.S. News evaluated Matthews Asia Science and Technology Fund (MATFX) and ranked it at number 26 overall. This long-term capital appreciation investment fund is in it for the long run, which in the world of science and technology, pays off when new science and technology are unveiled and production grows on the newest and most popular technology.
If one were to invest in Matthews Asia Science and Technology Fund (MATFX), now would be the time to buy shares. Over the past year, there has been a decrease of trailing returns; however, this was after a great growth in returns. The stock market is full of ups and downs, but buying when stocks are cheap is the best thing you can do for your investment, especially when you know that the returns have consistently been +6.7% to +10.5% overall for the past 10 years.
By purchasing stocks in technology portfolio investment while it is cheaper during certain parts of the year (before holidays and before tech companies rev up to create their newest models), you can wait out the fluctuations of the annual market and when it rises, you have a sure bet for prosperous investment capital.
However, if you wish to be safe, it could be wise to hold on buying common stocks until the stock price has risen for this Fund. The risk is above average for this Fund compared to funds in a similar category. However, with higher risks, comes higher rewards—especially when the Fund has a profit history that is as impressive as MATFX.