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Risk-averse investors interested in both growth and value investing may opt for large-cap blend mutual funds to achieve their objective. While large-cap funds usually provide a safer option than small-cap and mid-cap funds, blend funds provide significant exposure to both growth and value stocks. Blend funds – also called “hybrid funds” – aim for value appreciation by capital gains. It owes its origin to a graphical representation of a fund’s equity style box. Meanwhile, large-cap blend funds have exposure to large-cap stocks, providing long-term performance history and assuring more stability than what mid cap or small caps offer. Generally, companies with market capitalization of more than $10 billion are considered large cap firms. However, due to their significant international exposure, large-cap companies might be affected by a global downturn. Below, we share with you 5 top-rated, large-cap blend mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and we expect the fund to outperform its peers in the future. Selected American Shares Fund S (MUTF: SLASX ) seeks to provide capital appreciation and income. SLASX invests a large chunk of its assets in securities of domestic companies. SLASX primarily invests in common stocks of companies with market capitalization of more than $10 billion. The Selected American Shares S fund has a three-year annualized return of 13.7%. SLASX has an expense ratio of 0.94% as compared to the category average of 1.04%. Columbia Large Cap Enhanced Core Fund (MUTF: NMIMX ) invests the major portion of its assets in common stocks of companies that are included in the S&P 500 Index. NMIMX may also invest in convertible securities and other derivatives, which are expected to provide returns similar to the index. Numbers and weight of NMIMX may fluctuate in order to provide higher return, compared to that of the index. The Columbia Large Cap Enhanced Core Z fund has a three-year annualized return of 15.7%. As of August 2015, NMIMX held 116 issues with 4.56% of its assets invested in Apple Inc. (NASDAQ: AAPL ) Fidelity Fund (MUTF: FFIDX ) seeks capital growth over the long run. FFIDX primarily focuses on acquiring common stocks of companies located throughout the globe. FFIDX may also invest a notable share of its assets in bonds, which also include non-investment grade debt securities. FFIDX uses a “blend” strategy while investing in securities. Though FFIDX invests in stocks of companies irrespective of their market cap, it invests the major share of its assets in securities of large-cap companies. The Fidelity Fund has a three-year annualized return of 13.9%. John D. Avery is the fund manager of FFIDX since 2002. Goldman Sachs US Equity Insights Fund A (MUTF: GSSQX ) maintains a diversified portfolio by investing the lion’s share of its assets in equity securities that are issued in the US, including securities of non-US companies that are traded in the US. Currently, GSSQX invests more than 70% of its assets in securities of large-cap companies to achieve both long-term capital appreciation and dividend income. GSSQX may also invest in fixed income generating securities. The Goldman Sachs US Equity Insights A fund has a three-year annualized return of 15.5%. GSSQX has an expense ratio of 0.97% as compared to the category average of 1.04%. VALIC Company I Large Cap Core Fund (MUTF: VLCCX ) seeks capital appreciation over the long run with the prospect for current income. VLCCX invests the majority of its assets in common stocks of companies having large-size market capitalization. VLCCX invests in securities that are believed to be undervalued with a strong growth potential over the long term. VLCCX may invest a maximum of 20% of its assets in securities of foreign issuers. The VALIC Company I Large Cap Core fund has a three-year annualized return of 16.2%. Guy W. Pope is the fund manager of VLCCX since 2011. Original Post Scalper1 News
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