Bonds add stability during down and volatile periods, while stocks provide growth. Stock Funds Includes a wide variety of funds seeking capital gains from small portfolios of 50 stocks to large portfolios of hundreds of stocks. Aggressive Growth Great for longer term investors who do not need their money within the next five years. Small-Cap funds invest in the stock of small and new businesses which have greater potential for growth, yet have higher risk of short term volatility. Growth Seek high returns, yet have less volatility than aggressive growth.
Investment portfolios consist of large, medium and small sized companies.
Managers tend to utilize more conservative strategies than their aggressive fund counterparts. Returns match the market. Management fees are usually extremely low. Bonds provide a safety cushion during volatile periods, dividends and income provide extra capital appreciation, in addition to appreciation made from stock appreciation. Income Funds that invest in bonds.