Foreign-focused funds dominated the list of the 10 best-performing closed-end funds in July. Health/biotechnology offerings also proved popular with investors.
Two Morgan Stanley funds focusing on the trendy "Chindia" -- China and India -- region rebounded to double-digit gains for the month. However, the
Morgan Stanley China A Share Fund
Morgan Stanley India Investment Fund
each remains in negative territory, down more than 10% for the year to date.
Investors pushed the market price of IIF to a premium of 7.31% at the end of the month from a discount that had averaged 10.57% over the past half year.
Keeping the Chindia pair company and adding geographic diversity to the list were the
Turkish Investment Fund
, which benefited from indications that Turkey's moderately nonsecular government was achieving economic growth in that nation; and
Western Asset Emerging Markets Floating Rate Fund
. Whereas domestic floating rate securities have proved a drag on performance of domestic funds, EFL's investments in emerging markets have lifted the fund 33.55% for the year to date.
Atop the accompany table to July's 10 best performing closed-end funds is the
, a health/biotechnology offering that vaulted 20.97% for the month, leaving it up 10.78% for the year to date.
Other closed-end funds in the health/biotech area on the list include
H&Q Healthcare Investors
H&Q Life Sciences Investors
. HQH, which added 8.93% for the monthly, outperformed HQL by a single basis point. Its major portfolio holdings include
Teva Pharmaceutical Industries (ADS)
A bounce in the financial sector lifted the
John Hancock Bank & Thrift Opportunity Fund
8.55% higher in July. But the fund remains off 14.54% for the year to date and down 22.71% for the latest 12 months. Its largest holdings include financial mainstays
Bank of New York Mellon
JP Morgan Chase
Bank of America
Richard Widows is a senior financial analyst for TheStreet.com Ratings. Prior to joining TheStreet.com, Widows was senior product manager for quantitative analytics at Thomson Financial. After receiving an M.B.A. from Santa Clara University in California, his career included development of investment information systems at data firms, including the Lipper division of Reuters. His international experience includes assignments in the U.K. and East Asia.