T. Rowe Price Latin America (PRLAX)

A FAVORITE BECAUSE: A favorite since all the way back in 2001, PRLAX has rewarded our loyalty with a staggering 633% (as of 11/09) return since. While we fully expect the Latin America sector in general and this fund in particular to cool (way) off, we named this fund a favorite primarily because of its low cost of ownership and its long-term outperformance of rivals. As contrarian investors we're staying well clear of Latin America for the time being, but if we simply had to invest in the category, PRLAX is how we'd do it.

WE DON'T LIKE: Latin American funds are coming off a real hot streak, and no Latin American fund has been hotter than PRLAX. That means a load of new investor money to invest, which could lead to less than spectacular performance going forward. Investors should also keep a sharp eye on relatively new manager Jose Buck who took over the fund in December 2008.