My pick: JAGIX Janus Growth and Income Fund
Some of my first picks have been less popular categories, but searching for a Large Cap Growth fund, I found 96 options with no loads and no transaction costs available through etrade.
First, I sorted the options by 3 year performance. Then I looked at expenses and turnover. The average expenses for this category run 1.37% and the average turnover is 83.76%. Since I had so many choices, I was able to find options with lower expenses and turnover among the best performers when I went through the first 15 funds listed. During my first look at these I ruled out several funds including any with expenses over 1.20%:
JAMES EQUITY (JALCX) and JANUS ADVISER GROWTH & INCOME S (JADGX) are too expensive with 1.50% and 1.22% expense ratios respectively.
FIDELITY ADVISOR NEW INSIGHTS INSTL (FINSX) and JANUS TWENTY (JAVLX) are closed to new investors.
MARSICO 21ST CENTURY (MXXIX) has way too much turnover at 175% for a taxable account and is too expensive with a 1.39% expense ratio.
GENERATION WAVE GROWTH (GWGFX) 1.50% expense ratio is too high.
WELLS FARGO ADVTG CAPITAL GROWTH INV (SLGIX) is too expensive at 1.42%.
TURNER CORE GROWTH I (TTMEX) has very low 0.59% expenses but too much turnover at 136%.
Six of the first 15 funds are worth considering:
JANUS ADVISER FORTY S (JARTX) has a 1.18% expense ratio which is higher than some of the others but not too high.
TRANSAMERICA PREMIER EQUITY INV (TEQUX) looks interesting with a below average 1.09% expense ratio and 32%turnover rate.
EXCELSIOR LARGE CAP GROWTH (UMLGX) has below average expenses at 1.10% and has a low 24% turnover.
JANUS GROWTH & INCOME (JAGIX) has very low expenses at 0.87% and below average 38% turnover.
WESTCORE BLUE CHIP (WTMVX) has 1.11% expenses and 50% turnover
SIT LARGE CAP GROWTH (SNIGX) has low 1.00% expense ratio and 24% turnover.
T ROWE PRICE GROWTH STOCK ADV (TRSAX) has low expenses at 0.94% and 36% turnover.
Looming at these six funds, the performance of some has been better recently some better over the long term. Chasing near term performance is never a good idea, so I sort by lowest expenses:
TRSAX has performed better than JAGIX recently, but JAGIX has a better 3 year performance record. Either fund would work. TRSAX looks like it tracks Large cap domestic indexes more closely. JAGIX has a Large Cap Domestic base but also holds international funds and some stock in smaller companies. Janus is known for being a more aggressive fund company in general. This hurt investors who bought Janus funds at the peak of the market in 2000. But for the purposes of this hypothetical portfolio- with a plan to invest regularly, a more aggressive fund, with lower expenses, is my choice.