Growth funds are a type of investment fund that primarily focuses on stocks of companies expected to grow at an above-average rate compared to their industry or the overall market. These funds aim to increase the value of investments over time, rather than providing immediate income through dividends. Investors typically choose growth funds for their potential to deliver higher returns, especially over the long term. These funds often invest in sectors like technology, healthcare, and consumer goods, where innovation and expansion are common. While growth funds can offer significant rewards, they also come with higher risks, as the value of the underlying stocks can be volatile. Investors should consider their risk tolerance and investment goals before choosing to invest in growth funds.