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What are aggressive growth mutual funds?

Last Updated: May 23, 2011

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Aggressive growth mutual funds are also known as maximum capital gains funds. As their title implies, they are designed for aggressive investors who are willing to take a high amount of risk (i.e., chance of loss) in exchange for the potential of a high return. Aggressive growth fund portfolios are typically comprised of the stocks of speculative or relatively small and little-known companies. Due to the composition of their portfolios, the value of aggressive growth fund shares often fluctuates more rapidly than the stock market as a whole.

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