A single minded focus towards capital appreciation is what
best characterizes growth funds. This purity of style is further
established by the fact that investors can expect few or no
dividend pay outs from such mutual funds. But investing in this
class of funds requires a relatively higher appetite for risk
than those following a value or blend style towards investing.
However, in depth research and professional management are what
make mutual funds a much safer proposition as compared to
directly investing in growth stocks.
Below we will share with you 5 top rated growth mutual funds.
Each has earned a
Zacks #1 Rank (Strong Buy)
as we expect these mutual funds to outperform their peers in the
future. To view the Zacks Rank and past performance of all growth
funds, investors can
click here to see the complete list of funds.
USAA Growth
(USAAX) seeks capital growth over the long term by investing a
large share of its assets in equity securities of companies
having an above par potential for growth. It may invest up to
one-fifth of its total assets in foreign stocks. The growth
mutual fund has a one year annualized return of 17.93%.
Aziz V. Hamzaogullari is the fund manager and he has managed
this growth mutual fund since 2010.
Pioneer Select Mid Cap Growth A
(PMCTX) invests the majority of its assets in mid cap stocks. The
companies selected for its investment must have market
capitalizations within the range of Russell Midcap Growth Index.
The growth mutual fund has a one year annualized return of
10.33%.
As of November 2012, this growth mutual fund held 127 issues,
with 1.97% of its total assets invested in LKQ Corporation.
Franklin Flex Cap Growth A
(FKCGX) seeks capital growth by primarily investing in common
stocks of companies having a significant growth potential. It may
invest in companies regardless of their market capitalization The
growth mutual fund has a one year annualized return of 9.60%.
The growth mutual fund has a minimum initial investment of $
1,000 and an expense ratio of 0.98% compared to a category
average of 1.27%.
Sentinel Capital Growth A
(BRGRX) invests heavily in common stocks of companies which
exhibit growth characteristics. A maximum of one-fourth of its
assets may be invested in a particular industry. The growth
mutual fund has a one year annualized return of 7.81%.
Elizabeth R. Bramwell is the fund manager and he has managed
this growth mutual fund since 1994.
Thornburg Core Growth A
(THCGX) seeks capital appreciation over the long term. The fund
invests a large share of its assets in equity shares of companies
which possess the ability to grow at an incremental pace. The
fund may also purchase foreign equity securities as well as debt
instruments. The growth mutual fund has a one year annualized
return of 21.42%.
The growth mutual fund has a minimum initial investment of $
5,000 and an expense ratio of 1.48% compared to a category
average of 1.27%.
To view the Zacks Rank and past performance of all growth
mutual funds, investors can click here to see the complete list
of funds.
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find
funds that not only outpaced the market in the past but are also
expected to outperform going forward. Learn more about the
Zacks Mutual Fund Rank
.
View All Zacks #1 Ranked Mutual Funds
(BRGRX): ETF Research Reports
(FKCGX): ETF Research Reports
(PMCTX): ETF Research Reports
(THCGX): ETF Research Reports
(USAAX): ETF Research Reports
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