The 2018 FIFA World Cup kicked off last Thursday. The World Cup is held every four years to crown a world soccer champion.
The governing body of the World Cup is the Federation Internationale de Football Association (FIFA). They put together the FIFA/Coca-Cola World Rankings to objectively rank the best national soccer teams.
The FIFA rankings are largely based upon past performance. The national team from each country is ranked from the strongest to weakest. When the World Cup rolls around, the expectation is that the teams at the top are likely to continue to perform better than the teams at the bottom.
The current top 15 teams in the FIFA World Rankings include the 2014 World Cup champions Germany ranked number one. Brazil, Belgium, Portugal and 2014 runners-up Argentina round out the top five.
For the non-soccer fans (like me), let me use a quick NFL football example. I you had to bet on what team would win the Super Bowl next year, would you bet on the Philadelphia Eagles or the Cleveland Browns?
Rankings are part of life, sports, colleges, and everything in the middle. Why can’t rankings be a useful exercise in order to improve your company 401(k) retirement plan mutual fund selections?
I provide a mutual fund ranking system to my individual company 401(k) retirement plan investment advice clients. Each week, I provide a two-page summary of the ranking of each of their company 401(k) retirement plan menu of mutual funds.
In up, down, and sideways stock and bond markets, my clients know exactly “what to buy.” More importantly, then will eventually know, “when to sell.”
The weekly rankings don’t change very often. Mid and Small Cap mutual funds have been the best company 401(k) investment to own for a long while.
These rankings are based upon relative strength. The mutual funds that exhibit strong relative strength characteristics are the best ones to own in a company 401(k). There are mountains of studies to back up relative strength research.
The smartest soccer minds in the world expect Germany, Brazil, Belgium, Portugal, and Argentina to have strong showings in this year’s World Cup tournament. The same list of best mutual fund options to own can be available for your company 401(k) retirement plan menu.
Unbiased, objective, third-party relative strength mutual fund rankings can help you more clearly identify the best company 401(k) mutual funds to own for long-term investment success.
Ric Lager
Lager & Company, Inc.