July 3, 2000
If you are looking to beat the S&P 500 without going into a risky mutual fund, the Heritage Growth Equity Fund (symbols: HGEAX, HGEBX, HGECX) could be for you. This five star rated, by Morningstar, fund stands tall against the S&P 500 Index ( see chart ). It is ranked in the top 5 of its category and over the last 5 years has been delivering a solid return with only an average risk profile. This fund is great for investors just starting out with its minimum investment of only $1000, which is considered low for a fund with this much technology in it. There isn't any minimum for subsequent investments, unless you set up an automatic investment plan and then the initial investment and minimum subsequent investment is $50 per month.
Ashi Parikh, portfolio manager of Heritage Growth Equity Fund, states his investment philosophy as: "I focus on selecting premier companies that are industry leaders with characteristics such as strong brand recognition, excellent leadership and the potential for high earnings growth". A quick glance at the Fund's holdings as of May 31, 2000 shows he is on target with these premier powerhouse companies: National Semiconductor (NSM), Microsoft (MSFT), Cisco Systems (CSCO), Dell Computers (DELL), Applied Materials (AMAT), EMC Corporation (EMC), JDS Uniphase (JDSU) and Intel (INTL). This is a who's who list of high flying high tech companies. Thanks to these investments, The Heritage Growth Equity Fund has beaten the S&P 500 Index for the past 4 years and is on pace to outperform the Index again this year.
There are three different versions of this fund with the "A" shares (HGEAX) having an initial sales load of 4.75%, an expense ratio of 1.38% and 12-1b fees of .50%. The "B" shares (HGEBX) has no front end load, a deferred sales load starting 5%, an expense ratio of 2.11% and 12-1b fees of 1%. The "C" shares (HGECX) has no front end load, a deferred sales load of 1% if you exit the fund within the first year, an expense ratio of 2.13% and 12-1b fees of 1%.
Heritage Growth Equity Fund
Symbol
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HGEAX
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Phone Number
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800-421-4184
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Minimum Investment
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$1,000
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Load
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4.75%
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Deferred Sales Load
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0 - 5%
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Expense Ratio
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1.38%
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12b-1 Fee
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.50%
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Year to date return (as of 6/22/00)
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11.15%
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Average annual 3 year return (as of 5/31/00)
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36.53%
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(Source: www.heritagefunds.com and www.quicken.com – accuracy of this information is not guaranteed)
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