LARGE CAP STOCKS AND MUTUAL FUNDS

Though the majority of stocks are actually found in smaller caps, large cap stocks are better known and thus hog most Wall Street's attention. Then practice what you've learned with our free stock market simulation.

LARGE CAP STOCKS LIST

Take a look at these big kahuna stocks:

Symbol Company
AAPL Apple Inc.
MSFT Microsoft Inc.
AMZN Amazon.com Inc.
GOOG Alphabet Inc. (Google) Class C
GOOGL Alphabet Inc. (Google) Class A
BRK.B Berkshire Hathaway Inc.
BRK.A Berkshire Hathaway Inc.
FB Facebook Inc.
BABA ALIBABA GROUP HOLDING LTD.
JNJ JOHNSON & JOHNSON

LARGE CAP MUTUAL FUNDS LIST

Symbol Company
AGTHX American Funds Growth Fund of Amer A
CGFAX American Funds Growth Fund of Amer 529A
CGFCX American Funds Growth Fund of Amer 529C
CGFEX American Funds Growth Fund of Amer 529E
CGFFX American Funds Growth Fund of Amer 529F
GFACX American Funds Growth Fund of Amer C
GFAFX American Funds Growth Fund of Amer F1
GFFFX American Funds Growth Fund of Amer F2
RGAAX American Funds Growth Fund of Amer R1
RGABX American Funds Growth Fund of Amer R2

 

WHAT ARE LARGE CAP STOCKS?

Large cap refers to large market capitalization. “Large Cap” is a term used by the investment community. Cap size has changed over time, so it’s important to take scaling into consideration. What was considered a big cap stock thirty years ago is very much a small cap stock today. Commonly referred to as blue chip stocks, the largest publicly traded companies have a cap of $10 billion or greater. They’re usually the best-known companies traded in the public market (Apple, Walmart, Facebook etc). Wall Street's attention is concentrated heavily on these giants because it’s where the lucrative investment banking business resides – but the majority of stocks are actually found in the smaller (and riskier) caps.

Fun fact: AAPL recently shattered records by hitting a market cap of $775 billion!

WHAT ARE LARGE CAP MUTUAL FUNDS?

Large cap funds consist of companies with market caps of $8 billion or more. Mutual funds actually have restrictions on the level of ownership they can have in any one company (generally no more than 10% of their outstanding shares), so oftentimes these funds are forced to imitate a larger index. This usually forces the big cap funds to purchase large companies – the same companies that make up the major market indexes. There are lots of large cap   income funds   that are awesome for risk-averse investors. Investors with large time horizons tend to rely on more passive investing strategies. Large cap mutual funds would be appealing to these guys, as they usually aim to buy and hold. When picking between a small, medium or large cap mutual fund, make sure to take into consideration not only its size but also in which investing style the fund specializes.

FINDING THE BEST LARGE CAP STOCKS TO BUY

Blue chip stocks should be a part of any properly diversified portfolio. Many think that these massive stocks are too conservative, but they still see incredible amounts of trading and speculation on a daily basis. Even these huge companies see price fluctuations that cause investors to panic or cash out. Here are the main reasons why you want to get your hands on some large cap stocks:

Stability

Their size makes big cap companies relatively stable compared to smaller caps. They’re much less likely to go under, but their growth rate is sluggish in comparison. These companies are typically market leaders, so while it’s difficult for them to grow as quickly as up-and-comers, they are the much safer investment.

Dividends

Large cap stock companies are much more likely to pay dividends. They know the stock price isn’t likely to appreciate in value as quickly as a growth company’s. Big cap companies are super profitable, yes. But they simply don't have the same opportunity to grow. Their stock price remains relatively stagnant, so they pay back dividends in order to compensate their investors.

Safety

During the inevitable downturn in the business cycle is when large cap companies are extra hot. These whales aren’t necessarily immune to recessions, but they’re certainly more stable in the face of one. Dividend payments are also an attractive source of income when bond yields are low.



WALL STREET SURVIVOR'S BEST OF THE BEST LIST

MARCH 23, 2020: URGENT UPDATES TO HELP YOU MAKE MONEY WHEN THE MARKET IS DOWN!

Get the BEST STOCK RECOMMENDATIONS from THIS Stock Newsletter: TRY IT FOR JUST $19

The markets have dropped over 30% since their highs just a few weeks ago because of the Coronavirus, but we are starting to see more signs that this might be a PERFECT BUYING OPPORTUNITY:

#1. HOT Fool Picks in Spite of Crash. Here is why we love the Motley Fool--On Thursday, March 19, 2020 they recommended Zoom Video (Ticker ZM) when it was at $124. Today, March 23 it closed at $160, that's up 29% in 3 days! But that's not all, they also recommended it October 3, 2019 when it was at $77 so that is up 108% since they picked it back in October, in spite of the market crashing 30%. Other recent picks are TSLA, NFLX and TTD which are all UP since they were picked!

#2. Stock Prices Are Down 30%.  This is a good thing! If you are thinking of buying stocks, now's your chance to get quality companies at much more affordable prices. This offers a very attractive entry point, because stocks are ON SALE and you can now buy quality stocks for 30% less than you would have paid for them in February.

#3. More Articles Are Starting To Recommend Buying. As we are nearing the bottom of this drop, we are starting to see more articles like this: BlackRock is suggesting we may be at a "once in a lifetime opportunity", Morgan Stanley says to start buying, and Warren Buffet has a stock pile of cash and rumors are he is starting to buy.

#4. Dollar Cost Averaging Works! Since nobody knows where the bottom will be exactly, smart investors continue to invest a fixed dollar amount in the market each month. This is called Dollar Cost Averaging. That way, when the markets are down you are buying more shares of your favorite stocks at cheaper prices. This helps drive down your average cost and increase your profits when the stock market moves back up.

If you need recommendations for stocks to buy now, keep in mind that the Motley Fool Stock Advisor beat the market by over 30% the last 4 years, and they are currently recommending that NOW IS THE TIME to start buying some of those quality stocks that should make up the foundation of your portfolio. The Motley Fool Stock Advisor service is recommending at least 15 stocks that you should plan on holding for the next 3 to 5 years. So, if you need investing ideas, it is a PERFECT time to consider the best stock newsletter over the last 4 years--The Motley Fool Stock Advisor

Normally it is priced at $199 per year but they are currently offering it for just $99/year if you click this link


P.S. this offer is still backed by their 30-day money back guarantee.


P.S.S. Still skeptical? Read this complete Motley Fool Review



GET UP TO $1,000 IN FREE STOCK

WHEN YOU OPEN A ROBINHOOD BROKERAGE ACCOUNT

Robinhood was the first brokerage site to NOT charge commissions when they opened in 2013. They just past 10,000,000 accounts and to celebrate they are offering up to $1,000 in free stock when you open a new account.

Here's the details: You must click on a special promo link to open your new Robinhood account. Then when you fund your account with at least $10, you will receive one stock valued between $5 and $500. Then, you will get a link to share with your friends. Every time one of your friends opens an account, you will receive another free stock valued between $5 and $500. Click here to learn more about this Special Robinhood offer.

Claim your free stock NOW

(before it's too late)