My wife has been getting these dividends for years..
$10,000 has went to $40,000 over a ten year period..
When you are paying front-load and a 1b fee, there are better options. American funds is one of the largest funds around because they pay commisions to salespeople even after they make the sale. American funds owes the public an index fund just like Vanguard, but they won't because many folks who kno't know any better think American funds will make them rich. American Growth funds makes lots of money and its money managers get to votes on the proxys when it is time to vote for Companies CEO. Tis fund is not a gold mine, it is ok, but there are better and less costly ones.
This fund is perfectly fine if it is an employer retirement plan. If you have to pay the load it may be wise to look elsewhere. Previous posts recommendations of other funds such as fcntx are foolish. Both funds lost a ton of money in 08 and long term returns are very similar. It kills me when people bash a fund and then recommend a fund that lost approximately 2% less the previous year. Get real
I own this fund, it has been a great fund. HAS BEEN. Randy Johnson has been a great pitcher in the past, HAS BEEN.
It's 5, 3 & 1 year returns are 15.91%, 12.03% & 10.95%, there is a pattern developing there, and it is going the wrong way.
For large cap growth funds, I'd rather be in the Marsico 21st Century Fund (22.68%, 15.16% & 19.34% for the 5, 3 &1 year averages) or the Fidelity Contrafund (17.99%, 15.80% & 19.78%).
I don't own this fund but am visiting this board because my brother-in-law bought this fund in a custodial account for my kids and he asked me to evaluate the fund.
I have spent some time looking over this fund and do not feel it is deserving of a 4* rating from Morningstar.
I own 7 funds in my IRA and every one has beaten this fund in 2007.
As a matter of fact, my worst performer beat this dog by more than 30% (< 10% vs > 40%).
Now for the bad news -- this fund is LOADED @ 5.75%.