: Managed by Primecap, this fund searches for out-of-favor stocks with long-term potential. It has outpaced the S&P 500 in 2025 and early 2026, though it is more concentrated than an index fund. Dodge & Cox Stock Fund (DODGX) : Best for : Growth and income (Value tilt).
: With a 0.03% expense ratio and no minimum initial investment, it is an accessible entry point for new investors seeking broad market exposure. Top Growth & Specialized Funds
: It offers extremely low costs (0.04% expense ratio) and matches the performance of the 500 largest U.S. companies, including Apple, Nvidia , and Microsoft. Fidelity 500 Index Fund (FXAIX) : Best for : Beginners and IRA accounts. best mutual funds to buy
: A stalwart in value investing, this fund looks for undervalued large companies. It is often recommended for its disciplined, long-term management style. International & Income Picks Fidelity International Index Fund (FSPSX) : Best for : International diversification.
: Often cited as a primary competitor to Vanguard, it features a low expense ratio (0.015%) and tracks the S&P 500 with high precision. Fidelity Total Market Index Fund (FSKAX) : Best for : Maximum U.S. diversification. : Managed by Primecap, this fund searches for
For April 2026, the best mutual funds generally fall into two categories: low-cost for broad market exposure and specialized active funds for targeted growth or income. Experts from U.S. News and Forbes Advisor highlight the following top picks based on expense ratios, historical performance, and diversification. Top Low-Cost Index Funds
These are preferred for investors seeking to outperform the standard market indices through specific sectors or active management. : Best for : Large-cap growth. : With a 0
: Unlike S&P 500 funds, this fund holds over 3,700 companies, including smaller and mid-sized names, providing a "full discography" of the U.S. stock market for a minimal cost. Schwab Total Stock Market Index Fund (SWTSX) : Best for : No-minimum investment.