July 31

Financial Tip Of the Day

Posted by David

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Invest in growth funds

  If value funds aren’t your thing then maybe look at growth funds.  There are many different breeds of growth funds. Some growth fund managers are content to buy shares in companies with mildly above-average revenue and earnings growth, while others, shooting for monster returns, try to catch the fastest growers before they crash.

  Aggressive growth fund managers are like drag racers who keep the pedal to the metal while taking on some sizeable risk. These types of funds often lead the pack over long periods of time - as well as over short periods when the stock market is booming - but they also have some crack-ups along the way.

  Growth funds also invest in shares of rapidly growing companies, but lean more toward large established names. Plus, growth managers are often willing to play it safe with cash.

  As a result, growth funds won’t zoom as high in bull markets as their aggressive cousins, but they hold up a bit better when the market heads south.

  Consider them if you’re seeking high long-term returns and

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