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3 Large-Cap Blend Mutual Funds to Power Up Your Portfolio

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Investors looking for exposure to both value and growth stocks while seeking returns at a lower level of risk may consider large-cap blend mutual funds. Large-cap funds offer more stability than mid- or small-cap funds and are thus safer.

Companies with a market capitalization of more than $10 billion are considered large caps. However, due to their significant international exposure, these companies run the risk of being hit by global woes.

Blend funds, also called hybrid funds, owe their origin to the graphical representation of their equity-style box. In addition to diversification, blend funds offer a great mix of growth and value investments.

Below we share with you three top-ranked large-cap blend mutual funds, namely Fidelity Growth & Income (FGRIX - Free Report) , Vanguard Growth and Income Fund (VQNPX - Free Report) and American Funds Investment Company of America (AIVSX - Free Report) . 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 funds.

Fidelity Growth & Income seeks dividend income along with capital appreciation by investing the majority of its net assets in domestic and foreign issues. FGRIX advisors invest in bonds, including low-quality debt securities, otherwise known as junk bonds, as well as stocks, which show prospects for future income and capital appreciation. The fund has returned 17.8% over the past three years.

As of February 2025, FGRIX held 163 issues, with 6.9% of its assets invested in Wells Fargo.

Vanguard Growth and Income Fund seeks capital appreciation along with dividend income greater than the return of the S&P 500 Index, by investing most of its net assets in common stocks that are part of the index. VQNPX advisors use quantitative methods to select a group of stocks that are expected to give a higher total return than that of the index. The fund has returned 17.4% over the past three years.

VQNPX has an expense ratio of 0.38%.

American Funds Investment Company of America seeks long-term growth of capital and income, placing great emphasis on future dividends. AIVSX invests in common stocks and holds securities convertible into common stocks, as well as bonds, U.S. government securities, nonconvertible preferred stocks and cash and equivalents. The fund has returned 21.4% over the past three years.

James B. Lovelace has been one of the fund managers of AIVSX since 1992.

To view the Zacks Rank and the past performance of all large-cap blend mutual funds, investors can click here to see the complete list of large-cap blend mutual funds.

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