FYI: When capital appreciation over the long term takes precedence over dividend payouts, growth funds become a natural choice for investors. These funds focus on realizing an appreciable amount of capital growth by investing in stocks of firms whose value is projected to rise over the long term. However, a relatively higher tolerance to risk and the willingness to park funds for the longer term are necessary when investing in these securities. This is because they may experience relatively more fluctuations than other fund classes.
Regards,
Ted
http://www.zacks.com/stock/news/158191/3-strong-buy-mid-cap-growth-mutual-funds-to-outperform-peers?article_id=158191&type=BLOG
