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Invest in These 3 Small-Cap Growth Funds for Amazing Returns
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Risk-loving investors, who give precedence to capital appreciation over dividend payouts, may consider small-cap growth mutual funds for healthy returns. These funds focus on realizing an appreciable amount of capital growth by investing in stocks that are set to gain over the long term.
Meanwhile, small-cap funds are good choices for investors seeking diversification across different sectors and companies. Small-cap funds generally invest in companies with a market cap less than $2 billion. The companies, smaller in size, offer growth potential and their market capitalization may increase subsequently. Also, due to their limited international exposure, small-cap funds offer higher protection than their large and mid-cap counterparts during economic downturns.
Janus Henderson Venture Fund Class D (JANVX - Free Report) aims for capital appreciation. The fund invests at least 50% of its assets in equity assets of small-sized companies. Small-sized companies are defined by the fund manager as those companies whose market capitalization falls within the range of companies in the Russell 2000A Growth Index at the time of initial purchase. JANVX has returned 9.3% over the past three years.
As of September 2020, JANVX held 136 issues, with 3.32% of its assets invested in Catalent Inc.
BlackRock Advantage Small Cap Growth Fund Investor A Shares (CSGEX - Free Report) aims for long-term growth of capital. The fund invests majority of its assets in securities of small-capitalization companies. Its advisor defines these companies as those that have market capitalization in the range of those included on the Russell 2000 Index at the time of purchase. CSGEX has three-year annualized returns of 9.3%.
Travis Cooke is the fund manager of CSGEX since 2013.
Franklin Small Cap Growth Fund Class A (FSGRX - Free Report) aims to provide long-term capital growth. The fund invests in information technology, industrials, consumer discretionary and healthcare sectors. FSGRX invests 80% of its net assets in equity securities of small-cap companies but may also invest in equity securities of larger companies. FSGRX has three-year annualized returns of 16.8%.
FSGRX has an expense ratio of 1.07% as compared to the category average of 1.22%.
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Invest in These 3 Small-Cap Growth Funds for Amazing Returns
Risk-loving investors, who give precedence to capital appreciation over dividend payouts, may consider small-cap growth mutual funds for healthy returns. These funds focus on realizing an appreciable amount of capital growth by investing in stocks that are set to gain over the long term.
Meanwhile, small-cap funds are good choices for investors seeking diversification across different sectors and companies. Small-cap funds generally invest in companies with a market cap less than $2 billion. The companies, smaller in size, offer growth potential and their market capitalization may increase subsequently. Also, due to their limited international exposure, small-cap funds offer higher protection than their large and mid-cap counterparts during economic downturns.
Below we share with you three top-ranked, small-cap growth mutual funds. Each has a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform peers in the future. Investors can click here to see the complete list of funds.
Janus Henderson Venture Fund Class D (JANVX - Free Report) aims for capital appreciation. The fund invests at least 50% of its assets in equity assets of small-sized companies. Small-sized companies are defined by the fund manager as those companies whose market capitalization falls within the range of companies in the Russell 2000A Growth Index at the time of initial purchase. JANVX has returned 9.3% over the past three years.
As of September 2020, JANVX held 136 issues, with 3.32% of its assets invested in Catalent Inc.
BlackRock Advantage Small Cap Growth Fund Investor A Shares (CSGEX - Free Report) aims for long-term growth of capital. The fund invests majority of its assets in securities of small-capitalization companies. Its advisor defines these companies as those that have market capitalization in the range of those included on the Russell 2000 Index at the time of purchase. CSGEX has three-year annualized returns of 9.3%.
Travis Cooke is the fund manager of CSGEX since 2013.
Franklin Small Cap Growth Fund Class A (FSGRX - Free Report) aims to provide long-term capital growth. The fund invests in information technology, industrials, consumer discretionary and healthcare sectors. FSGRX invests 80% of its net assets in equity securities of small-cap companies but may also invest in equity securities of larger companies. FSGRX has three-year annualized returns of 16.8%.
FSGRX has an expense ratio of 1.07% as compared to the category average of 1.22%.
To view the Zacks Rank and past performance of all small-cap growth mutual funds, investors can click here to see the complete list of funds.
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