The largest mutual fund in America is American Funds' The Growth Fund of America (AGTHX). At recent report, the fund managed some $147 billion in assets for more than 4 million shareholders.

In a word: "Wow."

Come on in. The water's fine.
If you're one of the those 4 million, my hope here is that you're at least curious about how the fund's top 10 holdings are rated in Motley Fool CAPS.

What's CAPS? It's a brand-new community intelligence database that asks professional and amateur investors alike to rate every publicly traded stock with one of two predictions: "outperform" or "underperform." In turn, each investor is assigned a rating, as is each stock. Going forward, we believe that our community of investors, working together, will be able to offer profitable insights into almost every stock on the market.

So, without further ado, here are The Growth Fund of America's top 10 holdings, as of Aug. 31, 2006, alongside their rating (from one to five stars) in Motley Fool CAPS:


CAPS Rating


No rating


One star

Schlumberger (NYSE:SLB)

Three stars

Altria (NYSE:MO)

Four stars


Three stars

Lowe's (NYSE:LOW)

Three stars

Microsoft (NASDAQ:MSFT)

Three stars

Cisco Systems (NASDAQ:CSCO)

Three stars


Four stars

Fannie Mae

Two stars

Making sense of it all
For the most part, Growth Fund of America investors are looking at a rather average portfolio -- at least according to Motley Fool CAPS. Of course, CAPS is brand-new and still in beta testing, so it's still unclear how meaningful these ratings might be. And to the fund's credit, it has done a good job outperforming its benchmark over the years despite a massive front-end load.

At the very least, however, I'll hope you'll agree with me that these ratings are interesting.

If you'd like to see what CAPS has to say about the rest of your holdings, or if you want to see which stocks have gotten five-star ratings in CAPS, or if you disagree with these ratings and would like to add some of your own, simply click here to join the beta test of CAPS. It's totally free and (potentially) totally revolutionary.

Tim Hanson does not own shares of any company mentioned. Fannie Mae and Microsoft are Motley Fool Inside Value recommendations. The Fool's disclosure policy assures you that no stocks were harmed in the making of this article.