3 BNY Mellon Mutual Funds to Consider Amid Market Volatility
BNY Mellon Investment Management, one of the world’s largest investment managers, is headquartered in Manhattan, NY, and serves as the asset management arm of The Bank of New York Mellon Corporation (BNY). The company was established on July 1, 2007, following the merger of The Bank of New York Company Inc. and Mellon Financial Corporation. Since then, it has built a strong global presence, with offices in more than 30 countries across the Americas, Europe, the Middle East and Africa (EMEA) and the Asia-Pacific region.
The firm’s investment capabilities are delivered through seven specialist investment managers: Arx Investimentos, Dreyfus, Insight Investment, Newton Investment Management, Siguler Guff, Walter Scott and Mellon. Each affiliate follows a distinct investment philosophy and brings specialized expertise across asset classes and strategies, enabling BNY Mellon Investment Management to offer a diverse range of solutions tailored to the needs of institutional and individual investors worldwide.
BNY had approximately $2.2 trillion in assets under management as of June 30, 2026. The company reported strong second-quarter 2026 results, with adjusted earnings of $2.46 per share, comfortably surpassing the Zacks Consensus Estimate of $2.20. Total revenues climbed 13% year over year to a record $5.7 billion, also exceeding the Zacks Consensus Estimate of $5.4 billion. Fee revenue rose 11% to $4.04 billion, while net interest income increased 20% to $1.45 billion, reflecting higher client activity, favorable market levels and continued balance sheet optimization.
The robust quarterly performance was driven by higher fee revenues across investment and securities services businesses, stronger net interest income and healthy operating leverage. The company’s assets under management increased to $2.2 trillion, supported by favorable market appreciation and client inflows. Management also raised its full-year 2026 revenue growth outlook to 10-11%, highlighting confidence in continued business momentum despite an uncertain macroeconomic backdrop.
Mutual funds, in general, reduce transaction costs and diversify portfolios without an array of commission charges that are mostly associated with stock purchases (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
We have thus selected three mutual funds that boast a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy), have positive three-year and five-year annualized returns and minimum initial investments within $5000, as well as carry a low expense ratio.
BNY Mellon Equity Income Fund DQIRX primarily invests in equity securities, with an emphasis on dividend-paying stocks and other income-generating investments. It uses a proprietary quantitative model to identify and rank companies across industries and may invest in both value- and growth-oriented stocks.
Peter D. Goslin has been one of the lead managers of DQIRX since 2015. Three top holdings for DQIRX are 6.8% in Nvidia, 6% in Apple and 4.5% in Microsoft.
DQIRX’s 3-year and 5-year annualized returns are 22.6% and 15.2%, respectively, and its net expense ratio is 0.78%. DQIRX has a Zacks Mutual Fund Rank #1. To see how this fund performed compared to its category, and other 1 and 2 Ranked Mutual Funds, please click here.
BNY Mellon Natural Resources Fund DLDRX primarily invests in stocks of companies operating in the natural resources and related sectors. It maintains exposure across major industry segments, invests in both growth and value stocks, and may hold companies of any size, including those in international and emerging markets.
Alex Trombetta has been one of the lead managers of DLDRX since 2026. Three top holdings for DLDRX are 4.8% in BP plc, 4.7% in Exxon Mobil and 4.6% in Suncor.
DLDRX’s 3-year and 5-year annualized returns are 11.7% and 15%, respectively, and its net expense ratio is 0.92%. DLDRX has a Zacks Mutual Fund Rank #2.
BNY Mellon Sustainable U.S. Equity Fund DTCAX primarily invests in equity securities of U.S. companies with attractive investment characteristics, sustainable business practices and no significant unresolved environmental, social and governance concerns. Its portfolio is focused mainly on common stocks.
Nicholas Pope has been one of the lead managers of DTCAX since 2022. Three top holdings for DTCAX are 9.2% in Nvidia, 6.9% in Apple and 6% in Microsoft.
DTCAX’s 3-year and 5-year annualized returns are 18.4% and 10.5%, respectively, and its net expense ratio is 0.95%. DTCAX has a Zacks Mutual Fund Rank #2.
Bottom Line
BNY Mellon remains a well-established and diversified asset manager with a resilient operating model. Its extensive investment expertise, global footprint and solid financial performance equip it to adapt to evolving market conditions. As investors continue to monitor the Fed’s policy path and navigate bouts of market volatility, BNY Mellon mutual funds offer an appealing mix of stability, diversification and long-term growth potential for a wide range of portfolios.
Want key mutual fund info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Get Your Free (DLDRX): Fund Analysis Report
Get Your Free (DQIRX): Fund Analysis Report
Get Your Free (DTCAX): Fund Analysis Report
This article originally published on Zacks Investment Research (zacks.com).