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Bet on 3 Large-Cap Value Mutual Funds for Healthy Returns
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Large-cap funds are better than small or mid-cap funds for risk-averse investors. These funds have exposure to large-cap stocks, with a long-term performance history and more stability than what mid or small caps offer. Companies with market capitalization of more than $10 billion are generally considered large cap. However, due to their significant international exposure, large-cap companies might be affected by a global downturn.
Meanwhile, investors looking for a bargain — stocks trading at a discount — are mostly interested in value funds, which pick stocks that tend to trade at a price lower than their fundamentals (i.e. earnings, book value, debt-equity) and pay out dividend. In the long run, value stocks are expected to outperform the growth ones across all asset classes and are less vulnerable to the trending markets. However, investors interested in choosing value funds for yield, should check the mutual fund yield as not all value funds comprise solely companies that use their earnings primarily to pay out dividend.
Principal LargeCap Value A invests a major part of its assets in equity securities of large-cap companies, which are included on the Russell 1000 Value Index. The fund seeks capital growth over the long run. PCACX focuses on investing in value equity securities. Principal LargeCap Value A has returned 11.1% over the last one-year period.
Christopher Ibach is one of the fund managers of PCACX since 2015.
Thrivent Large Cap Value A (AAUTX - Free Report) seeks capital appreciation for the long run. AAUTX invests the lion’s share of its assets in securities of large-cap companies. The fund invests primarily in those companies whose market cap falls within the range of the Russell 1000 Value Index or the S&P 500/Citigroup Value Index. Thrivent Large Cap Value A has one-year returns of 14.2%.
AAUTX has an expense ratio of 0.91% as compared to the category average of 1.01%.
Northern Large Cap Value (NOLVX - Free Report) invests a large chunk of its assets in securities of those large-cap companies, whose market-cap is similar to those present in the Russell 1000 Value Index. The fund seeks capital appreciation for the long run. Northern Large Cap Value has one-year annualized returns of 10.2%.
As of June 2018, NOLVX held 134 issues, with 4.38% of its assets invested in JPMorgan Chase & Co.
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Bet on 3 Large-Cap Value Mutual Funds for Healthy Returns
Large-cap funds are better than small or mid-cap funds for risk-averse investors. These funds have exposure to large-cap stocks, with a long-term performance history and more stability than what mid or small caps offer. Companies with market capitalization of more than $10 billion are generally considered large cap. However, due to their significant international exposure, large-cap companies might be affected by a global downturn.
Meanwhile, investors looking for a bargain — stocks trading at a discount — are mostly interested in value funds, which pick stocks that tend to trade at a price lower than their fundamentals (i.e. earnings, book value, debt-equity) and pay out dividend. In the long run, value stocks are expected to outperform the growth ones across all asset classes and are less vulnerable to the trending markets. However, investors interested in choosing value funds for yield, should check the mutual fund yield as not all value funds comprise solely companies that use their earnings primarily to pay out dividend.
Below we share with you three top-ranked, large-cap value mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of large-cap value funds.
Principal LargeCap Value A invests a major part of its assets in equity securities of large-cap companies, which are included on the Russell 1000 Value Index. The fund seeks capital growth over the long run. PCACX focuses on investing in value equity securities. Principal LargeCap Value A has returned 11.1% over the last one-year period.
Christopher Ibach is one of the fund managers of PCACX since 2015.
Thrivent Large Cap Value A (AAUTX - Free Report) seeks capital appreciation for the long run. AAUTX invests the lion’s share of its assets in securities of large-cap companies. The fund invests primarily in those companies whose market cap falls within the range of the Russell 1000 Value Index or the S&P 500/Citigroup Value Index. Thrivent Large Cap Value A has one-year returns of 14.2%.
AAUTX has an expense ratio of 0.91% as compared to the category average of 1.01%.
Northern Large Cap Value (NOLVX - Free Report) invests a large chunk of its assets in securities of those large-cap companies, whose market-cap is similar to those present in the Russell 1000 Value Index. The fund seeks capital appreciation for the long run. Northern Large Cap Value has one-year annualized returns of 10.2%.
As of June 2018, NOLVX held 134 issues, with 4.38% of its assets invested in JPMorgan Chase & Co.
To view the Zacks Rank and past performance of all large-cap value mutual funds, investors can click here to see the complete list of funds.
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