Growth investment fund is a kind of investment fund, which can be generally divided into growth, income and balance investment funds according to the income target.
Growth funds are also called long-term growth funds. The investment goal of this kind of fund is to pursue the long-term growth of capital, so the fund mainly invests its assets in the common stock of companies with good credit standing, long-term surplus or development prospects. Because the price of the stocks invested by the fund is expected to rise faster than the overall stock price composite index in the bull market, and the companies of these stocks usually reinvest their income after making profits, so the long-term growth potential of such funds is greater. The advantage of investors investing in such funds is that although the dividend income in the current period may be less, they will get more long-term gains and capital gains, and the risk of investors buying stocks directly can be greatly reduced by dispersing funds into the above-mentioned ordinary stocks. Most foreign growth investment funds have excellent performance, such as the famous LindnerFund, which can maintain an average annual growth rate of more than 27% for a long time. In countries with developed financial markets, growth investment funds occupy a dominant position in the whole financial market, and such funds are also developing rapidly. For example, from 198 1 to 1986, the number of growth investment funds in the United States increased by 1 15, reaching 260, more than the income-oriented funds 144.
Seeing this, I believe you have understood and brought you to know the growth investment fund.