The Mutual Fund With the Top 3-Year Honors

TheStreet.com Ratings initiated coverage of 18 open-end mutual funds that accrued a track record of three years of risk and performance data by the end of November.

Only one of the funds that opened for business in November 2005 received our top rating level of "excellent." The Highbridge Statistical Market Neutral Fund(HSKAX Quote) is also the only fund scoring both a positive one-year return, at 8.3%, and a three-year annualized return, at 4.8%.

TheStreet.com Ratings' risk-adjusted return ranking model for open-end stock mutual funds places Highbridge in the top category at A+. Notable holdings include Nike(NKE Quote), Best Buy(BBY Quote), Staples(SPLS Quote) and Chevron(CVX Quote). With 1,046 U.S. stocks in the portfolio, no individual stock holding makes up more than one-half of 1% of fund assets and no sector is allocated more than a 6% concentration.

Two funds earned initial ratings of B+. The first, FBR Pegasus Fund(FBRPX Quote) averaged a loss of just 3.64% over the past three years. The fund's largest stock holdings are Bank of America(BAC Quote), Wells Fargo(WFC Quote), 3M(MMM Quote) and Coca-Cola(KO Quote).

The second newly rated fund at the B+ level is RidgeWorth Life Vision Target Date 2015 Fund(LVFAX Quote). This fund of funds has an inception date of January 2007, but is a newer share class of an institutional fund launched in October 2005. The three top RidgeWorth funds held are the RidgeWorth Total Return Bond Fund, at 29.7%, Large Cap Value Equity Fund, at 13.4%, and Large Cap Core Equity Fund, at 11.5%. The portfolio is scheduled to get more and more conservative as the target date is approached. By 2017, RidgeWorth expects to combine this fund into the RidgeWorth Life Vision Conservative Fund.