5 Impressive Large-Cap Blend Mutual Funds To Beat Peers
Blend funds are a type of equity mutual funds which holds in its portfolio a mix of value and growth stocks. Blend funds are also known as “hybrid funds”. Blend funds aim for value appreciation by capital gains. It owes its origin to a graphical representation of a fund’s equity style box. In addition to diversification, blend funds are great picks for investors looking for a mix of growth and value investment. Meanwhile, large-cap funds usually provide a safer option for risk-averse investors, when compared to small-cap and mid-cap funds. These funds have exposure to large-cap stocks, providing long-term performance history and assuring more stability than what mid-caps or small-caps offer. Below we will share with you 5 large-cap growth mutual funds . Each has either earned a Zacks #1 Rank (Strong Buy) or a Zacks #2 Rank (Buy) as we expect these mutual funds to outperform their peers in the future. To view the Zacks Rank and past performance of all large-cap blend funds, investors can click here to see the complete list of funds. Principal Capital Appreciation A (MUTF: CMNWX ) seeks long-term capital appreciation. Though CMNWX generally invests in large-cap companies, it may also invest a small portion of its assets in small- and mid-cap firms. CMNWX uses a “blend” strategy to invest in equity securities of companies. The Principal Capital Appreciation A fund has a three-year annualized return of 19.5%. As of April 2015, CMNWX held 154 issues with 3.34% of its assets invested in Apple Inc. Steward Large Cap Enhanced Index Individual (MUTF: SEEKX ) invests a lion’s share of its assets in securities listed in the benchmark index. SEEKX changes relative weighting of value and growth stocks by following style of the benchmark. SEEKX also uses quantitative analysis of factors such as valuation, growth and dividend yield for investing in securities other than those included in the index in order to maintain its social responsible investment policies. The Steward Large Cap Enhanced Index Individual fund has a three-year annualized return of 20.7%. SEEKX has an expense ratio of 0.90% as compared to category average of 1.04%. Fidelity Disciplined Equity (MUTF: FDEQX ) seeks capital appreciation over the long run. FDEQX invests a major portion of its assets in common stocks of companies. FDEQX follows the companies’ weighting in the S&P 500 Index before investing in securities of firms across a wide range of sectors. FDEQX invests in companies throughout the globe by using quantitative analysis of factors such as growth potential, valuation and financial strength. The Fidelity Disciplined Equity fund has a three-year annualized return of 21.8%. Alex Devereaux is the fund manager and has managed FDEQX since 2013. Vantagepoint Growth & Income Investor (MUTF: VPGIX ) invests a large chunk of its assets in common stocks of domestic companies that are believed to be undervalued and have an impressive earnings growth potential. VPGIX focuses on acquiring stocks of companies that are expected to pay dividends. The Vantagepoint Growth & Income Investor fund has a three-year annualized return of 20%. As of April 2015, VPGIX held 208 issues with 2.22% of its assets invested in Microsoft Corp. Dreyfus Disciplined Stock (MUTF: DDSTX ) seeks capital growth over the long-term. DDSTX invests s majority of its assets in large-cap companies having market capitalizations above $5 billion. DDSTX is expected to follow the weighting of the S&P 500 Index to invest in both value and growth stocks. The Dreyfus Disciplined Stock fund has a three-year annualized return of 17.5%. DDSTX has an expense ratio of 1.00% as compared to category average of 1.04%. Original Post