Aggressive growth mutual fund

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Aggressive growth mutual fund

A mutual fund designed for maximum capital appreciation that places its money in companies with high growth rates.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Aggressive Growth Mutual Fund

A mutual fund that invests primarily or exclusively in high-risk, high-return securities. They may invest in IPOs and quickly re-sell; they also commonly invest in options. Very little of the income from an aggressive growth mutual fund comes from dividends; rather, most of its earnings come from capital appreciation. They have a high degree of volatility, and tend to correlate highly with stock market performance; that is, they do well when stock markets do well and poorly otherwise. Some analysts believe that while aggressive growth mutual funds correlate in this way, they do so more strongly, meaning that their values increase and decrease more steeply than stock markets as a whole.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
That tally, according to statistics compiled by Lipper Analytical, would place Brown's fund as 24th in a field of 101 no-load capital appreciation funds.
Capital appreciation funds. This kind of stock mutual fund has as its goal maximizing capital growth.
CAPITAL APPRECIATION FUNDS Alger: Capital Apprec $19.09 Perkins Opportunity Fund 34.81 Bruce Fund 145.52 IDEX II: Agg Growth; A 15.13 IDEX I:Agg Growth; C 15.07
CAPITAL APPRECIATION FUNDS Alger: Capital Apprec 78.57% N/A N/A Perkins Opportunity Fund 70.35 N/A N/A Bruce Fund 64.77 65.15% 85.30% IDEX II: Agg Growth; A 54.94 N/A N/A IDEX I:Agg Growth; C 54.52 N/A N/A
CAPITAL APPRECIATION FUNDS Alger: Capital Apprec None 0.00% 5.53% Perkins Opportunity Fund $2,500 4.75 2.63 Bruce Fund 1,000 0.00 2.04 IDEX II: Agg Growth; A 500 5.50 N/A IDEX I:Agg Growth; C 500 0.00 N/A
CAPITAL APPRECIATION FUNDS Alger: Capital Apprec N/A 800-992-3863 Perkins Opportunity Fund N/A 800-366-8361 Bruce Fund $1,853 800-872-7823 IDEX II: Agg Growth; A N/A 800-851-9777 IDEX I:Agg Growth; C N/A 800-851-9777
So, someone between the ages of 35 and 55 might invest 10% in money-market funds, 40% in growth and income stock funds, 30% in capital appreciation funds and 20% in high-quality bonds or bond funds.

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