The strategy for achieving capital growth involves investing in funds that aim to maximize returns over time. These funds typically focus on assets with growth potential, such as stocks of companies poised for expansion or sectors demonstrating robust growth prospects. By allocating capital to these funds, investors aim to benefit from the capital appreciation generated as the underlying investments increase in value. This article highlights two funds that have delivered over 20% returns in the past year.

Bridge Builder Large Cap Growth Fund

The Bridge Builder Large Cap Growth Fund is meticulously structured to deliver capital appreciation through strategic investment practices. Focusing on large-capitalization companies as per the parameters of the Russell 1000® Index, the fund emphasizes stability and growth potential. Its investment strategy leans heavily on identifying companies poised for robust growth to generate significant returns for investors.

               Data source: Bridge builder website; Image Source: © 2024 Krish Capital Pty.Ltd

Utilizing a multi-manager sub-advised structure, the fund leverages diverse expertise to navigate complex market dynamics and capitalize on emerging opportunities in the large-cap growth sector. Microsoft, Amazon, Nvidia, Apple, and Visa. Inc. are among the top ten holdings of this fund.

As of June 30, 2024, the fund has delivered a return of 25.06% over the past year and 6.14% over the past three years.

                        Data source: Bridge builder website; Image Source: © 2024 Krish Capital Pty.Ltd

Fidelity® Focused Stock Fund

The primary objective of this fund is to achieve capital growth by investing a minimum of 80% of its assets in stocks, with a portfolio typically comprising 30 to 80 stocks. It strategically allocates investments across growth and value stocks, focusing primarily on common stocks. As of May 31, 2024, the fund has a significant sectoral allocation to information technology, accounting for 28.37% of its portfolio. Key holdings in this fund include prominent companies such as Nvidia, Microsoft, Meta Platforms, Eaton, and Amazon.

                          Data source: Fidelity website; Image Source: © 2024 Krish Capital Pty.Ltd

Through its focused investment strategy, the fund has delivered an impressive performance, boasting an average annual total return of 39.35% as of June 30, 2024, surpassing its benchmark, the S&P 500.

                             Data source: Fidelity website; Image Source: © 2024 Krish Capital Pty.Ltd

Investors seeking substantial returns may consider allocating capital to funds strategically focused on maximizing growth potential. However, past performance is not indicative of future results and investors should carefully consider their investment objectives, risks, charges, and expenses before investing.