Buy These 3 RBC Mutual Funds With Attractive Growth Prospects
RBC is a diversified financial services company with over 150 years of history, serving Canadian, United States, and international markets. The company delivers a broad range of products and services to approximately 17 million clients worldwide through five business segments.
RBC’s mutual funds provide broad exposure to various asset classes, geographic regions and investment approaches. The range includes equity, fixed-income and asset allocation funds, which vary in terms of investment objectives and risk profiles. The company also emphasizes corporate governance and risk management in its investment portfolio.
We have picked three RBC mutual funds — RBC BlueBay Emerging Market Debt RESAX, RBC SMID Cap Growth TMCAX and RBC BlueBay High Yield Bond RHYAX— which investors should buy now for the long term. These funds have a Zacks Mutual Fund Rank #1 (Strong Buy) or Rank 2 (Buy), with positive three-year and five-year annualized returns, minimum initial investments within $5000 and expense ratios considerably lower than the category average. So, these funds have provided a comparatively stronger performance and carry a lower fee.
RBC BlueBay Emerging Market Debt fund invests its assets in fixed-income securities or similar investments issued by entities economically tied to emerging market countries, including securities denominated in U.S. dollars, other developed-market currencies and local emerging-market currencies.
Polina Kurdyavko has been the lead manager of RESAX since Nov. 1, 2017. Most of the fund’s holdings were in companies such as Miscellaneous Bonds (51.5%), Commercial Paper (3%) and Colombian Treasury Securities (2%) as of June 30, 2026.
RESAX’s 3-year and 5-year annualized returns are 10.7% and 3.6%, respectively. Its net expense ratio is 1.03%. RESAX has a Zacks Mutual Fund Rank #1.
To see how this fund performed compared to its category, and other 1 (Strong Buy) and 2 Ranked Mutual Funds, please click here.
RBC SMID Cap Growth fund seeks long-term capital appreciation. TMCAX invests at least 80% of its net assets in common stocks of mid-sized companies that fall within the market capitalization range of companies in the S&P MidCap 400 Index at the time of purchase.
Richard J. Drage has been the lead manager of TMCAX since Jan. 28, 2021. Most of the fund’s holdings were in companies such as Onto Innovation Inc. (3.2%), Mercury Systems, Inc. (2.8%) and RBC Bearings Inc (2.8%) as of June 30, 2026.
TMCAX’s 3-year and 5-year annualized returns are 5.9% and 3%, respectively. Its net expense ratio is 1.07%. TMCAX has a Zacks Mutual Fund Rank #2.
RBC BlueBay High Yield Bond fund invests most of its assets in high-yield fixed-income securities, with the remainder allocated to other securities, including investment-grade debt.
Tim Leary has been the lead manager of RHYAX since March 15, 2019. Most of the fund’s holdings were in companies such as Miscellaneous Bonds (60%), Cash (3%) and Carriage Services, Inc. (1%) as of June 30, 2026.
RHYAX’s 3-year and 5-year annualized returns are 8% and 4.1%, respectively. Its net expense ratio is 0.81%. RHYAX has a Zacks Mutual Fund Rank #2.
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 (TMCAX): Fund Analysis Report
Get Your Free (RESAX): Fund Analysis Report
Get Your Free (RHYAX): Fund Analysis Report
This article originally published on Zacks Investment Research (zacks.com).