Growth funds offer incremental gains on capital by investing in stocks of companies that are projected to rise in value over the long term. However, a relatively higher tolerance for risk is a prerequisite, alongside the willingness to park money for an extended period, while investing in these securities. This is because these may experience relatively greater fluctuation than the other fund classes.

 

Additionally, large-cap funds are ideal investment options for those seeking a high-return potential accompanied by lesser risk than what small-cap and mid-cap funds bear. These funds have exposure to large-cap stocks with a long-term performance history, assuring more stability than what mid or small caps offer.

 

Below, we share with you three large-cap growth mutual funds, viz., Fidelity Advisor Series Equity Growth Fund (FMFMX Quick QuoteFMFMX - Free Report) , BNY Mellon Large Cap Securities Fund (DREVX Quick QuoteDREVX - Free Report) , and VALIC Company I Large Capital Growth Fund (VLCGX Quick QuoteVLCGX - Free Report) . 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 funds.

 

Fidelity Advisor Series Equity Growth Fund invests most of its net assets inequity securities, usually in common stocks. FMFMX advisors look to invest in companies that have strong growth potential, according to Fidelity Management & Research Company LLC (FMR).

 

Fidelity Advisor Series Equity Growth Fund has three-year annualized returns of 20.4%. As of November 2022, FMFMX held 165 issues, and 10% of its assets were invested in MICROSOFT.

 

BNY Mellon Large Cap Securities Fund seeks to achieve long-term capital growth while preserving capital and usually invests in common stocks of companies based out of the United States. DREVX distributes capital gains once a year, whereas dividends are paid out on a quarterly basis. 

 

BNY Mellon Large Cap Securities Fund has three-year annualized returns of 19.8%. DREVX has an expense ratio of 0.71% compared with the category average of 0.99%.

 

VALIC Company I Large Capital Growth Fund seeks to generate current income while achieving moderate capital growth, and allocates its assets among Victory funds that mainly invest in equity securities. VLCGX pays dividends every quarter and distributes capital gains once a year.

 

VALIC Company I Large Capital Growth Fund has three-year annualized returns of 17.8%. Joseph Skorski has been one of the fund managers of VLCGX since June 2019.

 

To view the Zacks Rank and the past performance of all large-cap growth mutual funds, investors can click here to see the complete list of large-cap growth mutual funds.

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