3 Mid-Cap Blend Mutual Funds for Outstanding Returns

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Blend funds, also known as hybrid funds, aim for value appreciation by capital gains. They owe their origin to a graphical representation of a fund’s equity-style box. In addition to diversification, blend funds are great picks for investors looking for a mix of growth and value investment. A mid-cap blend fund is a type of equity mutual fund that holds a mix of value and growth stocks in its portfolio, where the market cap of the stocks is generally between $2 billion and $10 billion.

Below, we share with you three top-ranked mid-cap blend mutual funds, namely AMG River Road Mid Cap Value CHTTX, Vanguard Strategic Equity Investor Shares VSEQX and Fidelity Mid-Cap Stock FMCSX. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of funds.

AMG River Road Mid Cap Value invests primarily in securities of mid-cap companies. CHTTX’s advisors consider mid-cap companies to be those within the range of market capitalizations per the Russell Midcap Index, at the time of acquisition. The fund has returned 8.3% over the past three years.

As of January 2024, CHTTX held 49 issues, with 4.2% of its assets invested in LKQ Corp.

Vanguard Strategic Equity Investor Shares invests most of its net assets in small and mid-cap domestic equity securities based on their relative return potential. VSEQX advisors do this by applying a quantitative process to evaluate all of the securities in the MSCI U.S. Small + Mid Cap 2200 Index while maintaining a risk profile similar to that of the index. The fund has returned 6.5% over the past three years.

VSEQX has an expense ratio of 0.17% compared to the category average of 0.91%.

Fidelity Mid-Cap Stock invests the majority of its assets in common stocks of mid-cap companies with market capitalization similar to those on the Russell MidcapA Index or the S&P MidCap 400A Index. FMCSX typically invests in growth and value stocks. The fund has returned 5.2% over the past three years.

Nicola Stafford has been one of the fund managers of FMCSX since July 2017.

To view the Zacks Rank and the past performance of all mid-cap blend mutual funds, investors can click here to see the complete list of mid-cap blend mutual funds.

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