I am 37 and want to invest aggressive growth.
2007-01-18 14:22:16 · 3 answers · asked by pandjnewton 2 in Business & Finance ➔ Investing
That is excellent. American funds does have agressive growth funds. Perhaps the most aggressive is the Small Cap World Fund. It also coincedently also has one of the best performance records over a 5 year period. 13.2% including front end load. Another is New World Fund. It has even a better performance record.20.5% 5 year annual return. Both are aggressive.
Personally, I think it would be a mistake to put all of your money into either of those funds. Maybe 20% would be appropriate. Aggressive funds have a very bad habit of suffering sever drops from time to time. So sever in fact that it will make you swear off investing for ever. Maybe 30% in Capital Income Builder. Maybe 30% in Fundamental Investors. Maybe 20% in Income Fund.
Over the long term that should give you an excellent return and allow you to sleep better during bear markets.
2007-01-18 14:59:39 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Why American? Aren't all their funds front-end load? Why start 5% in the hole?.I agree with the "birder" about allocations...but why the particular company....similar ( probably almost identical) funds at ten diff outfits.
2007-01-18 23:40:04 · answer #2 · answered by jebediabartlett 6 · 0⤊ 0⤋
I would not take small cap and BEWARE odf the 5.25% load on these funds. The one I have with them is CWGFX (its a class f fund found only through certain brokers) and had extremly good success with it.
2007-01-18 23:20:05 · answer #3 · answered by Anonymous · 0⤊ 0⤋