Growth Funds Were Top Performers in Q1 and for the Last Decade – and other growth news
Growth funds were the top performers in the first quarter of 2016. Moreover, nine of the top 10 performing funds over the last decade were in the growth category.
Dividend Investing vs. Growth Investing (The Motley Fool, March 20)
Investors should prioritize between dividends or growth investing based on risk and portfolio construction. One advantage of income investing is it provides regular income to pay bills and provides opportunities to reinvest and generate compound returns. However, the returns on income investing are usually smaller than the gains seen with growth investing. Although growth investing brings higher risk, for the long-term investor growth stocks can make a large impact.
5 Super Concentrated, Large-Cap Growth Funds Take the Cake (Barron’s, March 31)
According to Morningstar, large-cap growth mutual funds outperformed other categories for the first quarter. Given information technology was the leading sector in the S&P 500, it is not surprising the top performing funds “had substantial weightings in technology stocks, ranging from 30% to a whopping 48% and placed big bets, holding fewer than 35 companies each.”