TheStreet.com Ratings: The Top 5 'Ultra' Funds

Vanguard has 10 top-rated funds, including the (VGELX Quote)Vanguard Energy Admiral fund, which ranks in the highest-possible 99th percentile with a total return of 39.8% annually in the last three years.

The fund has two independent investment advisers. Wellington Management began advising the fund starting in 1984, utilizing the expertise of portfolio managers Karl Bandtel since 1992 and James Bevilacqua since 1998. The other adviser, The Vanguard Group, began advising the energy fund in 2005 under the portfolio management of Joel Dickson.

As of July 31, the fund's top holdings included Total, Exxon Mobil (XOM Quote), Chevron (CVX Quote), ConocoPhillips (COP Quote) and Valero Energy (VLO Quote). More than half the fund is invested in integrated oil and gas companies, with the remainder spread between services, exploration and refining.

AIM Investments rounds out our top five with 10 funds on the list. Vanguard edged AIM due to less cloning. (Generally speaking, the rankings do not discriminate against fund cloning. On the contrary, replicating successful strategies of well-managed funds for new investors should be encouraged.)

Seven of AIM's top funds are closed to new investments, including AIM European Small Company C, A, and B shares and AIM International Small Co C, A, and B shares, which captured the six top spots among all the stock mutual funds we rate. Also closed to new investment is their AIM European Growth Inv fund. But due to the miracle of cloning, the (AEDCX Quote)AIM European Growth C is open to new investments.