How the Largest Stock Funds Did in Q1  

Key Takeaways

• Eight of the 10 largest active stock funds landed in the top third of their categories.
• Two of the 10 largest index stock funds were in the top third.
• Value-tilted funds outpaced growth as the market shifted from 2024.

As the stock market faltered and the artificial intelligence darlings that drove it higher in 2024 fell sharply, the most widely held value funds had their time in the sun during the first quarter of 2025.

The 10 largest actively managed stock funds had strong showings compared with their category peers. Five of them ranked in the top 20% of their categories, while another two landed in the top third. Even the worst performer on a relative basis, the Strategic Advisers Fidelity US Total Stock Fund FCTDX, landed in the 53rd percentile.

Most of the largest index funds also outperformed their category averages, but only one ranked in the top quintile of its category, with another in the top third.

The Morningstar US Market Index is down 4.6% in the year to date. In a major reversal from last year, growth stocks trailed value in the first quarter, with the Morningstar US Large Growth Index falling 7.5%, compared with a 6.0% rise in the Morningstar US Large Value Index.

Here’s a look at how the largest US stock funds—both actively and passively managed—performed in the first quarter. Performance data for this article was based on the lowest-cost share class for each fund. Some funds may be listed with share classes not accessible to individual investors outside retirement plans. The individual investor versions of those funds may carry higher fees, reducing returns to shareholders. For longer-term returns, if a share class was launched more recently than the period mentioned, an older share class was substituted, if one exists.

Q1 Performance for the Largest Actively Managed US Stock Funds

The $187 billion American Funds Washington Mutual Fund RWMGX and the $145 billion Fidelity Contrafund FCNKX ranked in the 8th percentile for the quarter—the best showing among the most widely held stock funds. Fidelity Contrafund placed in the top decile even with a 4% loss for the quarter, reflecting the tough start to the year for growth stocks.

The $119 billion Dodge and Cox Stock Fund DOXGX had far and away the highest total return in the first quarter out of the 10 largest active US stock funds. Its 3.6% return put it in the 18th percentile of the large-cap value category. That was more than a percentage point higher than the next-best performer, the $102 billion American Funds American Mutual Fund RMFGX, which returned 2.5%

“Dodge & Cox Stock’s strong showing owes much to patience with longer-term holdings such as Charles Schwab and CVS Health,” says Tony Thomas, associate director of equity strategies at Morningstar. “The team added meaningfully to CVS Health in 2024’s fourth quarter, just before shares rebounded in 2025.”

Q1 Performance for the Largest US Index Stock Funds

The largest stock index funds on balance ranked lower in their categories than the largest active funds in the first quarter, with most of the funds hovering around the middle of their categories.

In terms of absolute performance, only one fund had positive returns: the $195 billion Vanguard Value ETF VTV

, the only value ETF in the list, which rose 2.6%. The next-best performer was the the $182 billion Vanguard Mid Cap Index Fund VMCPX

, which has fallen 1.6% this year. The Morningstar US Mid-Cap Index fell 2.5% in the quarter, outperforming the US Market Index.

“I would expect VMCPX to perform well against its category peers because its fee is considerably cheaper [0.03% versus 0.88% for the category average],” says Daniel Sotiroff, senior manager research analyst for Morningstar. “Overweighting utilities helped, and it held some tech stocks that performed well. Palantir Technologies is one example that was up about 20% over the same period.”

Largest Active US Stock Funds Long-Term Performance

Six of the 10 largest active US stock funds had higher category rankings based on first-quarter returns than they did based on five-year trailing returns, showing they had a better-than-average quarter than peers. The fund with the largest difference in ranking was the $82 billion American Funds AMCAP fund RAFGX, which is in the 86th percentile of the large growth category based on five-year returns but in the 22th percentile based on first-quarter returns.

Long-Term Performance for the Largest US Index Stock Funds

The 10 largest US stock index funds mostly fared worse in the quarter than they have over the longer term, relative to their categories. All but two post higher rankings based on five-year trailing returns than on first-quarter returns, with the Vanguard Value ETF and the Vanguard Mid Cap Index Fund being the exceptions.

The fund with the largest difference between its long-term and short-term performances was the $283 billion Vanguard Growth Index Fund VIGIX

, which ranked in the 16th percentile of the large growth category based on five-year returns but in the 60th percentile based on first-quarter returns.