3 Mutual Funds to Buy Now: Q2 Edition

Nearly all investor should consider mutual funds to buy now due to their overall safety compared to investing in individual stocks. It allows for a much higher probability of capital preservation.

Mutual funds are typically managed by professional organizations and individuals who have a much greater grasp on the overall stock market and economics than most retail investors. Furthermore, mutual funds to buy now are a perfect way to begin growing an investment portfolio due to their decent long-term gains, which require very little upfront time and research on many different companies for a retail investor.

Mutual funds are a no-brainer tool for investment growth that every investor should strongly consider for long-term capital appreciation.

Here are some solid mutual fund options for investors looking to expand and grow their portfolios.

State Street U.S. Core Equity Fund (SSAQX)

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State Street U.S. Core Equity Fund (MUTF:SSAQX) is a large blend fund that started being publicly traded on Jan. 2, 1980, and requires no minimum investments. The expense ratio of SSAQX is 0.14%. Over 95% of the fund is comprised of U.S. equities, with its three largest investment sectors being technology, healthcare, and financial services, which compose approximately 31%, 14%, and 13% of the total assets of the fund, respectively.

SSAQX’s top three holdings include Microsoft (NASDAQ:MSFT), Nvidia (NASDAQ:NVDA), and Apple (NASDAQ:AAPL).

SSAQX has just over 7 billion in total net assets under management. It has performed very well in terms of share price appreciation, which has increased by 25% in the last year and over the past five years by over 36%.

The SSAQX is a solid option for investors seeking growth among large-cap companies with a diversified portfolio. It is a mutual find that could continue to offer impressive returns for investors.

Fidelity Select Semiconductor Portfolio (FSELX)

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Fidelity Select Semiconductor Portfolio (MUTF:FSELX) is a technology fund that started trading publicly on July 29, 1985. Similar to SSAQX, it doesn’t require a minimum investment. With an expense ratio of 0.64%, it is one of the more expensive funds to hold in terms of management fees. It has approximately $17 billion in net assets under management.

The fund primarily invests in U.S. equities within the semiconductor industry. It also has a slight exposure to emerging markets, Asia, and Europe. Its turnover rate is on the high end of most mutual funds at 50%

The top three holding of FSELX is Nvidia, NXP Semiconductor (NASDAQ:NXPI), and ON Semiconductor (NASDAQ:ON).

FSELX has been one of the top-performing mutual funds to buy now on the market due to its abundant exposure to the rapidly expanding industry of semiconductor manufacturing. Over the past year, the fund has increased by over 50%, and within the last five years, it has grown by over 170%.

FSELX has seen outstanding returns, but it is expensive to own due to its high turnover rate and fairly steep expense ratio. However, for many investors, the incredible rate of return is well worth it.

Fidelity 500 Index Fund (FXAIX)

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Fidelity 500 Index Fund (MUTF:FXAIX) is a large-cap blended fund that was inception on Feb. 17, 1988. It offers an expense ratio of 0.015 % and no minimum investment. The sectors with the largest portfolio weight for FXAIX are technology, financials, and health care.

The fund’s top three holdings are Microsoft, Apple, and Nvidia. Over 99% of its investments are in U.S.-based equities. FXAIX seeks capital appreciation as well as income generation.

FXAIX has performed well in terms of share price appreciation. Over the last year, its share price has grown by 22%. Furthermore, over the last five years, it has increased by 72%. It has approximately $534 million in total assets under management.

FXAIX is a large-cap blended fund that has provided an impressive return over the last several years. With a very low expense ratio and low turnover rate, it’s a strong pick for investors seeking a diversified fund that has huge potential for upside going forward.

As of this writing, Noah Bolton did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Noah has about a year of freelance writing experience. He’s worked with Investopedia dealing with
topics such as the stock market and financial news.


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