Growth Fund
Overview
Objective
Seeks capital appreciation.
Strategy
Primarily focuses on the stocks of companies that have shown and are expected to show above-average growth in earnings.
The Management Team
The Fund is managed by the Equity Strategy Team, a group of senior-level investment professionals who average 38 years of experience.
Risk/Return
LOW - - - - - • - HIGH
In general, greater returns are associated with greater risks.
Fund Statistics
| Inception Date | 12/12/94 |
|---|---|
| Ticker Symbol | CFGRX |
| Cusip | 200626406 |
| Minimum Initial Investment | $1,000 |
Commentary
| Total Fund Assets as of 12/31/2024 | $239,196,748 |
|---|---|
| Net Asset Value1 | $51.17 |
| Asset Allocation | |
| Equities | 99.2% |
| Cash | 0.8% |
| Weighted Average Market Capitalization | 1,544.9 Billion |
Holdings
Top Ten Equity Holdings2 as of 12/31/2024
| Apple Inc | 11.5% |
|---|---|
| Microsoft Corp | 9.8% |
| NVIDIA Corporation | 9.7% |
| Alphabet Inc Class A | 6.1% |
| Amazon.com Inc | 6.0% |
| Meta Platforms Inc | 3.5% |
| Tesla Motors Inc | 3.1% |
| Broadcom Inc | 2.8% |
| iShares Russell 1000 Growth ETF | 2.3% |
| Eli Lilly and Company | 1.8% |
Footnotes:
1. The Net Asset Value represents the assets of the fund (ex dividend) by the total number of shares.
2. The composition of the portfolio is subject to change in the future.
3. The Russell 1000 Growth Index is an unmanaged index that measures the performance of those Russell 1000 companies with higher price-to-book ratios and higher forecasted growth values. The Index figures do not reflect any fees or expenses.
Portfolio Holdings
The Fund invests in mid-capitalization securities. The securities of mid-capitalization companies involve greater risks than those associated with larger, more established companies and may be subject to more abrupt or erratic price movements.
Holdings and allocations shown are unaudited, and may not be representative of current or future investments. Holdings and allocations may not include the Fund's entire investment portfolio, which may change at any time. Fund holdings should not be relied on in making investment decisions and should not be construed as research or investment advice regarding particular securities.
A prospectus for the Commerce Funds containing more complete information may be obtained by calling 1-800-995-6365 or by downloading it from this website. Please consider a Fund's objectives, risks, and charges and expenses, and read the prospectus carefully before investing. The prospectus contains this and other information about the Fund.
The mutual funds referred to in this Web site are offered and sold only to persons residing in the United States and are offered by prospectus only. The prospectus contains more complete information about the funds, including charges and expenses, and should be read carefully before investing.
The method of calculation of the 30-Day Standardized Subsidized Yield is mandated by the Securities and Exchange Commission and is determined by dividing the net investment income per share earned during the last 30 days of the period by the maximum public offering price (“POP”) per share on the last day of the period. This number is then annualized. The 30-Day Standardized Subsidized Yield reflects fee waivers and/or expense reimbursements recorded by the Fund during the period. Without waivers and/or reimbursements, yields would be reduced. This yield does not necessarily reflect income actually earned and distributed by the Fund and, therefore, may not be correlated with the dividends or other distributions paid to shareholders. The 30-Day Standardized Unsubsidized Yield does not adjust for any fee waivers and/ or expense reimbursements in effect. If the Fund does not incur any fee waivers and/or expense reimbursements during the period, the 30-Day Standard Subsidized Yield and 30-Day Standardized Unsubsidized Yield will be identical.
The large cap growth market continued it’s 2024 rally in the fourth quarter. Many investors focused on the positive implications of the two rate cuts in November and December by the Federal Reserve. Also, following the election, the tone for increased economic growth with less regulation in 2025 was viewed as a positive for forward earnings. The Commerce Growth Fund’s return of 6.77% trailed the Russell 1000 Growth Index return of 7.07%.
Stock selection detracted from the Fund’s performance. The Fund’s strongest stocks were Deckers Outdoor Corporation (0.81%), GoDaddy, Inc. Class A (0.80%), and Spotify Technology SA (0.88%), returning 27.37%, 25.89%, and 21.4%, respectively. The Fund’s top detractors were CDW Corporation (0.82%), Zoetis, Inc. Class A (0.89%), and Thermos Fisher Scientific Inc. (0.00%), returning -22.83%, -16.41%, and -14.42%, respectively.
The Fund’s sector allocation was neutral for the Fund’s performance. The Fund’s 1.52% overweight in the Energy sector, which returned 13.37%, added to performance as it was one of the stronger performing sectors. The Index had a 0.44% weight in the Energy sector. However, The Fund’s 0.98% overweight in the Health Care sector, which returned -9.00%, detracted from performance as it was one of the weaker sectors. The Index had a 7.13% weight in the Healthcare sector.