In this piece, we will take a look at the 20 best mutual funds for 2023. Mutual funds are a popular investment vehicle for both novice and experienced investors. They are professionally managed pools of money that invest in a variety of stocks, bonds, and other securities. Mutual funds offer diversification, which is the key to reducing investment risk.
Our listing of the best mutual funds sticks to U.S. and international equity funds, a short-term bond fund, and an allocation fund. These funds have been selected based on their past performance, fees, management team, and other factors. Here are the 20 best mutual funds for 2023:
- Vanguard Total Stock Market Index Fund (VTSMX)
- Fidelity 500 Index Fund (FXAIX)
- T. Rowe Price Blue Chip Growth Fund (TRBCX)
- American Funds Growth Fund of America (AGTHX)
- Fidelity Contrafund (FCNTX)
- Vanguard 500 Index Fund (VFIAX)
- Vanguard Dividend Growth Fund (VDIGX)
- Fidelity Growth Company Fund (FDGRX)
- T. Rowe Price Equity Income Fund (PRFDX)
- American Funds Washington Mutual Investors Fund (AWSHX)
- Fidelity Low-Priced Stock Fund (FLPSX)
- T. Rowe Price New Horizons Fund (PRNHX)
- Vanguard Health Care Fund (VGHCX)
- Fidelity Blue Chip Growth Fund (FBGRX)
- American Funds EuroPacific Growth Fund (AEPGX)
- T. Rowe Price Growth Stock Fund (PRGFX)
- Vanguard Total International Stock Index Fund (VGTSX)
- PIMCO Total Return Fund (PTTRX)
- Fidelity Balanced Fund (FBALX)
- American Funds Capital Income Builder Fund (CAIBX) Investors should note that past performance is not indicative of future results. However, these funds have a proven track record of outperforming their peers over the long term. Moreover, they are well-diversified, low-cost, and managed by experienced professionals.
Investors can purchase these funds through their brokerage firm or directly from the fund company. Many of these funds have a minimum investment requirement, which can range from $1,000 to $10,000. However, some funds offer lower minimums for investors who set up an automatic investment plan.