Large-cap funds are ideal investment options for those seeking a high return potential accompanied by lower risk than small-cap and mid-cap funds. These funds have exposure to large-cap stocks with a long-term performance history, assuring more stability than what mid or small caps offer.
Additionally, growth funds focus on realizing an appreciable amount of capital growth by investing in stocks of firms, the value of which is projected to rise over the long term. However, relatively higher tolerance to risk and the willingness to park funds for the longer term are necessary when investing in these securities. This is because these may experience relatively greater fluctuation than the other fund classes.
Below we share with you three top-ranked large-cap growth 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 all the large-cap growth mutual funds.
Vanguard Morgan Growth Investor seeks growth of capital for the long run. VMRGX invests mainly in stocks of mid- and large-cap domestic companies, whose earnings and revenues are believed to increase at a faster rate than the average company in the market. Vanguard Morgan Growth Investor has returned 27.8% in the last one-year time frame.
As of September 2017, VMRGX held 304 issues with 5.32% of its assets invested in Apple Inc.
T. Rowe Price Blue Chip Growth Advisor PABGX invests a bulk of its assets in common stocks of mid- and large-cap blue chip companies, which have strong growth potential. PABGX seeks capital appreciation for the long run and stable income growth. T. Rowe Price Blue Chip Growth Advisor has returned 34.2% in the last one-year time frame.
PABGX has an expense ratio of 0.98% compared with the category average of 1.17%.
JPMorgan Disciplined Equity A JDEAX invests a large portion of its assets in equity securities. JDEAX invests in common stocks of domestic companies having market capitalization similar to those listed on the S&P 500 Index. JPMorgan Disciplined Equity A seeks high total returns by maintaining a highly diversified portfolio. It may also invest in securities not present on the S&P 500 Index. JPMorgan Disciplined Equity A has returned 19.6% in the last one-year time frame.
Tim Snyder is one of the fund managers of JDEAX since 2016.
To view the Zacks Rank and past performance of all large-cap growth mutual funds, investors can click here to see the complete list of funds.
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