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3 Magnificent Mutual Funds to Maximize Your Retirement Portfolio - December 26, 2019

Zacks Equity Research

The funds in our "Magnificent Retirement Mutual Funds" list are among the best managed and best performing mutual funds available. If you are just finding out about our Top-Ranked Funds list, we welcome you!

How can you tell a good mutual fund from a bad one? It's pretty basic: if the fund is diversified, has low fees, and shows strong performance, it's a keeper. Of course, there's a wide range, but using our Zacks Rank, we've found three mutual funds that would be great additions to any long-term retirement investors' portfolios.

Here are the funds that have achieved the #1 (Strong Buy) Zacks Rank and have low fees.

If you are looking to diversify your portfolio, consider Transamerica Large Growth R4 (TGWFX). TGWFX is a Large Cap Growth option; these mutual funds purchase stakes in numerous large U.S. companies that are expected to develop and grow at a faster rate than other large-cap stocks. This fund is a winner, boasting an expense ratio of 0.9%, management fee of 0.65%, and a five-year annualized return track record of 12.98%.

DFA US Large Company I (DFUSX). Expense ratio: 0.08%. Management fee: 0.06%. DFUSX is part of the Large Cap Blend section, and these mutual funds most often invest in firms with a market capitalization of $10 billion or more. By investing in bigger companies, these funds offer more stability, and are often well-suited for investors with a "buy and hold" mindset. This fund has managed to produce a robust 10.78% over the last five years.

Nicholas II Fund (NCTWX). Expense ratio: 0.61%. Management fee: 0.52%. Five year annual return: 11.42%. NCTWX is a Mid Cap Growth mutual fund. These funds aim to target companies with a market capitalization between $2 billion and $10 billion that are also expected to exhibit more extensive growth opportunities for investors than their peers.

So, there you have it - if your advisor has you invested in any of our "Magnificent Retirement Mutual Funds," they are certainly earning their keep. If not, you may want to look elsewhere.

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