Value fund
(redirected from Value Stock Funds)Value Fund
A mutual fund that invests predominantly or exclusively in stocks that have a great deal of growth potential. These stocks may be undervalued and have an exceptionally low P/E ratio. Likewise, these stocks may pay dividends on a regular basis.
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Value fund.
When a mutual fund manager buys primarily undervalued stocks for the fund's portfolio with the expectation that these stocks will increase in price, that fund is described as a value fund.
A value fund may be limited to stocks of a certain size, such as those included in a small-cap value fund, or it may include undervalued stocks with different levels of capitalization.
Dictionary of Financial Terms. Copyright © 2008 Lightbulb Press, Inc. All Rights Reserved.