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PERFORMANCE OF GROWTH FUNDS
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Growth funds have a long investment horizon. This means that they seek to perform over the course of many years. Because of this, many of the best performers over long periods are growth funds. But because of their tendency to fluctuate in value, growth funds may not be good short-term investments.

As with all mutual funds, the performance of a growth fund depends upon the performance of the securities it contains. Growth funds whose underlying securities grow will themselves grow.

One of the more common objectives of investors is to grow an investment faster than the rate of inflation. Historically, growth funds have kept pace with inflation. Many of them have grown faster than inflation.

Now, some final thoughts about growth funds.




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