What is a cautious fund? Which are the best?

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At the outset, it’s worth highlighting two key points: (1) just because your fund choice is cautious you don’t have to accept mediocre performance (2) Investors shouldn’t adopt a “buy-and-forget” approach - inertia is one of the biggest roadblocks to investors making the best possible gains, because even the very best funds will go off the boil eventually.