Investors interested in high returns can choose to invest in mid-cap funds that come with lesser risk than small-cap funds. Mid-cap funds are not susceptible to volatility in broader markets. This makes these funds ideal bets given the erratic macroeconomic conditions in recent years. Also, when capital appreciation over the long term takes precedence over dividend payouts, growth funds are a natural choice for investors.

These funds focus on realizing an appreciable amount of capital growth by investing in stocks of firms whose value is projected to rise over the long term. However, a relatively higher tolerance to risk and the willingness to park funds for the longer term are necessary when investing in these securities. This is because these may experience relatively more fluctuations than other fund classes.

Below we share with you three top-ranked mid-cap growth mutual funds. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of mid-cap growth funds.

Commerce MidCap Growth (CFAGX - Free Report) seeks growth of capital for the long run. CFAGX invests the lion’s share of its assets in common stocks of mid-cap companies, which are included in the Russell Midcap Growth Index. Commerce MidCap Growth has a three-year annualized return of 10.5%.

CFAGX has an expense ratio of 0.87% compared with the category average of 1.26%.

Eagle Mid Cap Growth A (HAGAX - Free Report) invests the majority of its assets in equities of mid-cap issuers. HAGAX invests heavily in equities of those companies that are expected to have above-average earnings and sales growth.The fund seeks capital growth for the long run. Eagle Mid Cap Growth A has a three-year annualized return of 9.3%.

As of March 2017, HAGAX held 87 issues, with 2.82% of its assets invested in Waste Connections Inc. 

VALIC Company II Mid Cap Growth (VAMGX - Free Report) seeks long-term appreciation of capital. VAMGX invests primarily in common and preferred stocks of mid-cap companies, which fall within the range of the Russell Midcap Growth Index. The fund also invests in securities which can be converted to common stocks. VALIC Company II Mid Cap Growth has a three-year annualized return of 7.2%.

Michael Smith is one of the fund managers of VAMGX since 2013.