growth fund


A mutual fund whose aim is to achieve capital appreciation by investing in growth stocks. They focus on companies that are experiencing significant earnings or revenue growth, rather than companies that pay outdividends. The hope is that these rapidly growing companies will continue to increase in value, thereby allowing the fund to reap the benefits of large capital gains. In general, growth funds are more volatile than other types of funds, rising more than other funds in bull markets and falling more in bear markets.

Use growth fund in a sentence

The brand new growth fund was set up to make everyone happy and it did just that when it was created.

​ Was this Helpful? YES  NO 7 people found this helpful.

You should try and find a way to invest in a strong growth fund so that you can have your money going the right way.

​ Was this Helpful? YES  NO 10 people found this helpful.

Growth fund are good investment options for young investors because while they may be risky, the upside is huge and plenty of time to recover if it goes bad.

​ Was this Helpful? YES  NO 9 people found this helpful.

Show more usage examples...

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
capital appreciation fund value fund