WHAT ARE GROWTH & INCOME
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A growth and income fund combines elements of both
income funds and growth funds. These funds are not the same as
balanced funds, which invest in both stocks and bonds. Growth and
income funds invest in stock portfolios designed to generate both
income and growth potential.
Many of these funds have the words "growth and
income" in their names. "Total return" is another commonly used
term. Since they emphasize stocks, such funds may also have words
like "capital" and "equity" in their titles.
Next, we will explain what growth and income
funds try to achieve with this kind of portfolio.