Cautious investors should look at an investment horizon of three to five years at least and are willing to take less risk with their money. The funds selected for them have passed this test with performance history that spans both the down and up cycle of the stock markets. All these short-listed funds have exposure mostly to the top 100 companies by size, which have great managements and good businesses that they operate. Returns from these funds will be less volatile, which should be the draw when investing in them.
