But it sure has been a good time for the stocks of mutual fund companies. It s not hard to see why. It has been a decade of explosive growth for the mutual fund industry.
Funds have relatively fixed costs.
Consider T. Rowe Price, the largest publicly traded no-load mutual fund group. And no wonder. Still, T. Rowe Price is cheap compared with the industry, which averages 25.9. That s because Franklin s strength is international funds and bond funds, both of which have fared poorly recently, at least compared with stock funds. But Franklin, a value shop whose funds tend to have a bargain-hunting philosophy, could well be undervalued itself.