Grab These 3 Balanced Mutual Funds for Amazing Returns

Balanced funds offer investors the convenience of buying a single fund rather than holding both equity and bond funds. This category of funds also reduces a portfolio’s volatility while providing higher returns than pure fixed-income investments.The fund managers also enjoy the flexibility of changing the proportion of equity and fixed-income investments in response to market conditions. An upswing may prompt them to hold a relatively higher share of equity to maximize gains, whereas a downturn will see them shifting loyalties toward fixed-income investments to stem losses.Below, we share with you three top-ranked balanced mutual funds, namely Permanent Portfolio Permanent PRPFX, American Funds American Balanced ABALX and Dodge & Cox Balanced Fund DODBX. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of funds.Permanent Portfolio Permanent is a fund that is structured as follows: 20% in gold, 5% in silver, 10% in Swiss franc–denominated assets, 15% in real estate and natural resource stocks, 15% in aggressive growth stocks and 35% in U.S. dollar assets. PRPFX is non-diversified.Permanent Portfolio Permanent has three-year annualized returns of 17.6%.  As of April 2025, PRPFX had 75 issues with 4.6% of its net assets invested in Texas Pacific Land.American Funds American Balanced follows a balanced strategy, investing in common stocks, investment-grade bonds and securities issued or guaranteed by the U.S. government and federal agencies. It may also invest in dividend-paying stocks, bonds and other securities of foreign issuers.American Funds American Balanced has three-year annualized returns of 12.8%. ABALX has an expense ratio of 0.56%.Dodge & Cox Balanced Fund aims to achieve long-term capital growth and current income by investing the majority of its net assets in a diversified mix of equity and debt securities, allocated in varying proportions. DODBX may also allocate a small portion of assets to U.S. dollar-denominated equity or debt securities issued by foreign companies and traded in the United States, provided they are not included in the S&P 500 Index.Dodge & Cox Balanced Fund has three-year annualized returns of 11.8%. David C. Hoeft has been one of the fund managers of DODBX since January 2002.To view the Zacks Rank and the past performance of all balanced mutual funds, investors can click here to see the complete list of balanced mutual funds.Want key mutual fund info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.See "2nd Wave" AI stocks now >>View All Zacks #1 Ranked Mutual FundsWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (ABALX): Fund Analysis Report Get Your Free (DODBX): Fund Analysis Report Get Your Free (PRPFX): Fund Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks