American Century Investments has long been a trusted name in the mutual fund space. Known for its research-driven strategies and commitment to long-term growth, it offers a wide range of funds for different investor goals—from conservative income to aggressive growth.
But with dozens of options available, how do you know which ones are actually worth your money in 2025?
In this article, we highlight five of the best-performing and most reliable American Century mutual funds this year. Whether you’re a first-time investor or someone looking to diversify a retirement portfolio, these funds offer a smart starting point.
Why American Century?
Before we dive into the list, let’s take a quick look at why some investors choose American Century:
- Actively managed strategies backed by in-depth research
- Long-term focus aimed at consistent growth, not short-term hype
- Range of risk levels, from conservative bond funds to aggressive equity options
- Strong track record in both bull and bear markets
And importantly, the company donates a large portion of its profits to medical research through its controlling trust. So your investment could support more than just your portfolio.
1. American Century Focused Dynamic Growth Fund (ACFOX)
Category: Large-Cap Growth
Expense Ratio: 0.85%
Minimum Investment: $2,500
Morningstar Rating: ★★★★☆
Why It’s a Top Pick:
ACFOX focuses on high-conviction growth stocks, typically holding 30–45 names. It leans toward companies with strong earnings potential and scalable business models—making it ideal for investors who believe in long-term innovation.
2025 Performance Snapshot:
- YTD Return: ~18%
- 3-Year Avg Annual Return: ~14%
- Top Holdings: Microsoft, Nvidia, Amazon
Best For:
Investors looking for aggressive growth with a manageable portfolio of top-tier companies.
2. American Century Equity Growth Fund (BEQGX)
Category: Large-Cap Blend
Expense Ratio: 0.66%
Minimum Investment: $2,500
Morningstar Rating: ★★★★☆
Why It’s a Top Pick:
BEQGX balances growth and value, making it a strong core holding for any long-term investor. It focuses on companies with solid balance sheets, growing dividends, and consistent earnings.
2025 Performance Snapshot:
- YTD Return: ~12%
- 10-Year Avg Annual Return: ~11%
- Top Holdings: Apple, Visa, UnitedHealth
Best For:
Investors who want steady returns with lower volatility than pure growth funds.
3. American Century Ultra Fund (TWCUX)
Category: Large-Cap Growth
Expense Ratio: 0.79%
Minimum Investment: $2,500
Morningstar Rating: ★★★★☆
Why It’s a Top Pick:
Ultra has been a flagship fund for American Century since the 1990s. It targets companies that lead their sectors, with strong fundamentals and long-term growth potential.
2025 Performance Snapshot:
- YTD Return: ~15%
- 5-Year Avg Annual Return: ~13%
- Top Holdings: Alphabet, Salesforce, Mastercard
Best For:
Those looking to invest in high-quality names with consistent long-term outperformance.
4. American Century Diversified Bond Fund (ADFIX)
Category: Intermediate Core Bond
Expense Ratio: 0.54%
Minimum Investment: $2,500
Morningstar Rating: ★★★☆☆
Why It’s a Top Pick:
Not every year is great for stocks. ADFIX provides income and stability in uncertain markets. It invests in a mix of government, corporate, and mortgage-backed securities.
2025 Performance Snapshot:
- YTD Return: ~5%
- 3-Year Avg Annual Return: ~3.8%
- Duration: ~6 years
- SEC Yield: ~4.6%
Best For:
Conservative investors or those seeking diversification in their retirement portfolios.
5. American Century Small Cap Value Fund (ACSCX)
Category: Small-Cap Value
Expense Ratio: 1.00%
Minimum Investment: $2,500
Morningstar Rating: ★★★☆☆
Why It’s a Top Pick:
Small-cap value stocks have rebounded in 2025, and ACSCX is taking advantage. This fund targets underpriced companies with turnaround potential or long-term undervaluation.
2025 Performance Snapshot:
- YTD Return: ~16%
- 5-Year Avg Annual Return: ~10%
- Holdings: Financials, industrials, and consumer discretionary
Best For:
Risk-tolerant investors who want to diversify beyond large-cap growth.
How These Funds Compare
| Fund Name | Category | YTD Return (2025) | Expense Ratio | Risk Level |
|---|---|---|---|---|
| Focused Dynamic Growth (ACFOX) | Large Growth | ~18% | 0.85% | High |
| Equity Growth (BEQGX) | Large Blend | ~12% | 0.66% | Moderate |
| Ultra Fund (TWCUX) | Large Growth | ~15% | 0.79% | High |
| Diversified Bond (ADFIX) | Core Bond | ~5% | 0.54% | Low |
| Small Cap Value (ACSCX) | Small Value | ~16% | 1.00% | High |
Things to Consider Before You Invest
Choosing the right mutual fund isn’t just about past performance. Here’s what else to look at:
1. Your Risk Tolerance
Are you comfortable with volatility? If not, you may want to lean toward bond or balanced funds like BEQGX or ADFIX.
2. Investment Timeline
If you’re investing for retirement or the long haul, high-growth funds like ACFOX or TWCUX may pay off more.
3. Fund Expenses
While American Century funds are reasonably priced, always watch for high expense ratios—especially in actively managed funds.
4. Tax Efficiency
Mutual funds can trigger capital gains taxes. Consider holding them in tax-advantaged accounts like IRAs or 401(k)s if possible.
Are These Funds Right for You?
If you’re looking for best investment funds in 2025, American Century offers a strong mix of growth, value, and income options. These five funds cover different corners of the market and can fit a variety of portfolio strategies.
You might consider:
- ACFOX or TWCUX for aggressive long-term growth
- BEQGX for balanced growth
- ADFIX for income and stability
- ACSCX for small-cap diversification
Each has a solid track record and fits different investor goals.
Final Thoughts
American Century mutual funds continue to be strong choices for investors who want a blend of active management and long-term strategy. The key is to match the fund’s risk level and investment style with your personal financial goals.
Whether you’re building your first portfolio or looking to optimize your retirement accounts, the five funds we covered offer strong potential in 2025.
Want more fund breakdowns and investing tips?
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