When I think about mutual funds, popularity tells me a lot. It reflects where investors feel comfortable, which funds dominate retirement plans, and which options withstand market cycles. The most popular mutual funds usually balance performance, cost, and accessibility—qualities I look for in my own portfolio.
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What Defines Popularity in Mutual Funds?
Popularity mainly means:
- Large assets under management (AUM)
- High net inflows from investors
- Widespread availability in 401(k) plans and retail platforms
These indicators reveal trust, liquidity, and scale. When a fund has billions invested, it usually benefits from economies of scale that drive down costs. Large funds also tend to have robust research teams and consistent management.
Table: 10 Most Popular Mutual Funds by AUM (2025)
| Rank | Fund Name | Ticker | Fund Family | Total AUM (USD Billions) | Fund Type | Expense Ratio |
|---|---|---|---|---|---|---|
| 1 | Vanguard Total Stock Market Index Fund Admiral Shares | VTSAX | Vanguard | 1,200+ | Broad U.S. equity index | 0.04% |
| 2 | Fidelity 500 Index Fund | FXAIX | Fidelity | 350+ | S&P 500 index | 0.015% |
| 3 | American Funds Growth Fund of America | AGTHX | Capital Group | 145+ | Actively managed large growth | 0.67% |
| 4 | Vanguard 500 Index Fund Admiral Shares | VFIAX | Vanguard | 700+ | S&P 500 index | 0.04% |
| 5 | Fidelity Contrafund | FCNTX | Fidelity | 130+ | Actively managed growth | 0.82% |
| 6 | T. Rowe Price Blue Chip Growth Fund | TRBCX | T. Rowe Price | 110+ | Large growth equity | 0.69% |
| 7 | Vanguard Total Bond Market Index Fund Admiral Shares | VBTLX | Vanguard | 350+ | Broad U.S. bond index | 0.05% |
| 8 | PIMCO Total Return Fund | PTTRX | PIMCO | 110+ | Actively managed bonds | 0.82% |
| 9 | Schwab S&P 500 Index Fund | SWPPX | Charles Schwab | 90+ | S&P 500 index | 0.02% |
| 10 | Dodge & Cox Stock Fund | DODGX | Dodge & Cox | 70+ | Actively managed value equity | 0.52% |
1. Vanguard Total Stock Market Index Fund (VTSAX)
I often recommend VTSAX to investors who want broad exposure to the entire U.S. stock market at rock-bottom costs. It tracks the CRSP US Total Market Index, covering large-, mid-, and small-cap stocks.
Its expense ratio of just 0.04% means I pay only:
10{,}000 \times 0.0004 = 4 \text{ dollars annually per }10{,}000 \text{ invested}This is a big reason why it’s the largest mutual fund by assets in the country.
2. Fidelity 500 Index Fund (FXAIX)
FXAIX is Fidelity’s flagship S&P 500 index fund. With an ultra-low expense ratio of 0.015%, it costs even less than Vanguard’s S&P 500 fund.
For example, on a $100,000 investment, fees would be:
100{,}000 \times 0.00015 = 15 \text{ dollars annually}I find FXAIX popular among investors who want pure large-cap exposure with minimal drag on returns.
3. American Funds Growth Fund of America (AGTHX)
For investors seeking active management, AGTHX is one of the best-known options. It focuses on large-cap growth companies and is widely offered in retirement plans.
This fund has a higher expense ratio (0.67%) but justifies it with a long-term track record of outperformance.
4. Vanguard 500 Index Fund (VFIAX)
VFIAX is Vanguard’s S&P 500 fund equivalent to FXAIX but managed under Vanguard’s structure. It’s another popular choice for core equity holdings.
The fund is praised for its reliability, diversification, and low fees.
5. Fidelity Contrafund (FCNTX)
FCNTX is Fidelity’s largest actively managed mutual fund and one I monitor closely. It invests primarily in growth stocks with a focus on companies believed to be undervalued.
Its higher fees reflect active research, but it has delivered solid results over decades.
6. T. Rowe Price Blue Chip Growth Fund (TRBCX)
I consider TRBCX a strong pick for investors focused on high-quality, large-cap growth companies. It has a history of consistent returns, supported by deep research teams.
The expense ratio at 0.69% means I pay a moderate premium for this expertise.
7. Vanguard Total Bond Market Index Fund (VBTLX)
VBTLX is my go-to for fixed income exposure in a portfolio. It tracks the Bloomberg U.S. Aggregate Bond Index, providing broad exposure to investment-grade bonds.
With a low expense ratio of 0.05%, it is cost-efficient for conservative investors.
8. PIMCO Total Return Fund (PTTRX)
This was once the largest bond mutual fund in the world and remains popular among bond investors seeking active management.
The fund focuses on managing duration, credit risk, and interest rate exposure with skilled bond managers.
9. Schwab S&P 500 Index Fund (SWPPX)
I like Schwab’s offering as a low-cost alternative to Vanguard and Fidelity. SWPPX provides broad large-cap exposure with a 0.02% expense ratio, appealing to cost-conscious investors.
10. Dodge & Cox Stock Fund (DODGX)
Dodge & Cox is well-respected for value investing with a contrarian bent. DODGX focuses on undervalued large-cap stocks and has shown resilience over many market cycles.
Its expense ratio is higher (0.52%), but many investors appreciate its risk-managed approach.
What These Popular Funds Mean for Investors
These mutual funds cover a wide spectrum:
- Passive index funds with ultra-low costs (VTSAX, FXAIX, SWPPX)
- Active growth funds (FCNTX, TRBCX, AGTHX)
- Bond market exposure (VBTLX, PTTRX)
- Value and contrarian funds (DODGX)
By understanding their differences, I can tailor my portfolio to my risk tolerance, time horizon, and investment philosophy.
Expense Ratios and Their Impact on Returns
Expense ratios might seem small, but they compound significantly. For example, over 30 years, a 0.5% difference in fees can reduce final wealth by about 15-20%.
Using the compound interest formula:
FV = PV \times (1 + r - f)^tWhere:
- PV is the initial investment,
- r is annual return,
- f is expense ratio (fee),
- t is number of years.
If I invest $100,000 for 30 years with a 7% return and 0.05% fee:
FV = 100{,}000 \times (1 + 0.07 - 0.0005)^{30} \approx 100{,}000 \times (1.0695)^{30} \approx 761{,}226Versus a 0.7% fee:
FV = 100{,}000 \times (1 + 0.07 - 0.007)^{30} \approx 100{,}000 \times (1.063)^{30} \approx 612{,}391That’s nearly a $150,000 difference.
Final Thoughts
The 10 most popular mutual funds reflect what millions of Americans trust with their savings. When I pick funds for myself or clients, I look for low costs, strong management, and a fit with my goals.
