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Focus on 3 Mid-Cap Growth Mutual Funds for Healthy Gains
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Mid-cap 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, a 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 more fluctuation than the other fund classes.
Investors interested in high returns can choose to invest in mid-cap funds that come with lesser risk than small-cap funds. Mid-cap funds are not susceptible to volatility in the broader markets. This makes these funds ideal bets given the erratic macroeconomic conditions in recent years. Also, when capital appreciation over the long term takes precedence over dividend payouts, growth funds become a natural choice for investors.
Vanguard Mid Cap Growth Investor (VMGRX - Free Report) seeks appreciation of capital for the long run. The fund focuses on investing heavily in common stocks of mid-cap companies that are expected to have strong growth potential in the future. VMGRX uses several investment advisors. Vanguard Mid Cap Growth Investor has one-year annualized returns of 26.9%.
Robert C. Lanphier is one of the fund managers of VMGRX since 2006.
Commerce MidCap Growth (CFAGX - Free Report) invests a large chunk of its assets in common stocks of mid-cap companies included on the Russell Midcap Growth Index. CFAGX seeks appreciation of capital for the long run. The fund invests in those mid-cap companies that had below-average price volatility level. Commerce MidCap Growth has registered one-year annualized returns of 22.4%.
CFAGX has an expense ratio of 0.83% compared with the category average of 1.19%.
MFS Mid Cap Growth R6 (OTCKX - Free Report) seeks appreciation of capital. The fund invests a huge portion of its assets in mid-cap companies. OTCKX focuses on investing in those mid-cap companies that have market cap similar to those within the range of the Russell Midcap Growth Index in the last 13 months. MFS Mid Cap Growth R6 has one-year annualized returns of 28.2%.
As of July 2018, OTCKX held 105 issues, with 2.97% of its assets invested in Bright Horizons Family Solutions Inc.
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Focus on 3 Mid-Cap Growth Mutual Funds for Healthy Gains
Mid-cap 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, a 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 more fluctuation than the other fund classes.
Investors interested in high returns can choose to invest in mid-cap funds that come with lesser risk than small-cap funds. Mid-cap funds are not susceptible to volatility in the broader markets. This makes these funds ideal bets given the erratic macroeconomic conditions in recent years. Also, when capital appreciation over the long term takes precedence over dividend payouts, growth funds become a natural choice for investors.
Below we share with you three top-ranked mid-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 mid-cap growth funds.
Vanguard Mid Cap Growth Investor (VMGRX - Free Report) seeks appreciation of capital for the long run. The fund focuses on investing heavily in common stocks of mid-cap companies that are expected to have strong growth potential in the future. VMGRX uses several investment advisors. Vanguard Mid Cap Growth Investor has one-year annualized returns of 26.9%.
Robert C. Lanphier is one of the fund managers of VMGRX since 2006.
Commerce MidCap Growth (CFAGX - Free Report) invests a large chunk of its assets in common stocks of mid-cap companies included on the Russell Midcap Growth Index. CFAGX seeks appreciation of capital for the long run. The fund invests in those mid-cap companies that had below-average price volatility level. Commerce MidCap Growth has registered one-year annualized returns of 22.4%.
CFAGX has an expense ratio of 0.83% compared with the category average of 1.19%.
MFS Mid Cap Growth R6 (OTCKX - Free Report) seeks appreciation of capital. The fund invests a huge portion of its assets in mid-cap companies. OTCKX focuses on investing in those mid-cap companies that have market cap similar to those within the range of the Russell Midcap Growth Index in the last 13 months. MFS Mid Cap Growth R6 has one-year annualized returns of 28.2%.
As of July 2018, OTCKX held 105 issues, with 2.97% of its assets invested in Bright Horizons Family Solutions Inc.
To view the Zacks Rank and past performance of all mid-cap growth mutual funds, investors can click here to see the complete list of funds.
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