Investors interested in deriving stable returns while emphasizing capital appreciation over the long term over dividend payouts may consider large-cap growth mutual funds. Large cap funds usually provide a safer option for risk-averse investors, when compared to small-cap and mid-cap funds. Also, focusing on growth securities allows these funds to provide more returns as growth stocks refer to high quality stocks with the potential for revenue and earnings growth at a rate faster than the industry average. Large-cap mutual funds focus on acquiring securities of companies having market capitalization more than $10 billion. However, due to their significant international exposure, large-cap companies might get affected during a global downturn.
Below we share with you 5 top-rated, 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. 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 large-cap growth funds .
Janus Forty S (JARTX) invests generally in stocks of growth-oriented companies. JARTX maintains a portfolio primarily consisting of 20 to 40 common stocks. Though JARTX invests in securities of companies irrespective of market capitalization, it currently emphasizes more on acquiring securities of large-cap companies. JARTX may also invest in securities issued by foreign companies, including those from emerging nations. The Janus Forty S is a non-diversified fund and has a year-to-date return of 11.9%.
A. Douglas Rao is the fund manager of JARTX since 2013.
JHancock Blue Chip Growth 1 (JIBCX) seeks long-term capital appreciation. JIBCX invests the lion’s share of its assets in common stocks of blue chip companies having an impressive growth potential. JIBCX may invest not more than quarter of its assets in convertible securities, preferred stocks and debt securities. JIBCX may invest a maximum of 10% of its assets in hybrid instruments. The JHancock Blue Chip Growth 1 has a year-to-date return of 10.5%.
As of October 2015, JIBCX held 129 issues with 6.94% of its assets invested in Amazon.com Inc.
Loomis Sayles Growth A (LGRRX) invests in equities such as common stocks and warrants of large cap companies. LGRRX may also invest, to a lesser extent, in small- and mid-cap companies. LGRRX invests in multiple sectors and industries. The Loomis Sayles Growth A has a year-to-date return of 9.8%.
LGRRX has an expense ratio of 0.92% as compared to the category average of 1.18%.
JHancock US Global Leaders Growth A (USGLX) seeks capital growth over the long run. USGLX invests a major portion of its assets in common stocks of large-cap companies that are considered as U.S. Global Leaders. USGLX may invest not more than 20% of its assets in securities of foreign companies that are traded in the U.S. The JHancock US Global Leaders Growth A is a non-diversified fund and has a year-to-date return of 8.6%.
As of October 2015, USGLX held 62 issues with 4.27% of its assets invested in Visa Inc Class A.
Brown Advisory Growth Equity Investor (BIAGX) invests a large chunk of its assets in equity securities of domestic companies having above-average growth prospects. BIAGX invests in securities of companies with market capitalization of more than $2 billion. The Brown Advisory Growth Equity Investor has a year-to-date return of 6.5%.
Kenneth M. Stuzin is the fund manager of BIAGX since 1999.
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 .
About Zacks Mutual Fund Rank
By applying the Zacks Rank to mutual funds, investors can find funds that not only outpaced the market in the past but are also expected to outperform going forward. Learn more about the Zacks Mutual Fund Rank at https://www.zacks.com/funds.
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