Q. Can my shares of Visa Inc. continue to gain in value?—P.G., via the Internet

A. This global powerhouse is benefiting as consumers shake off recession and start shopping again.

It stands to reason: The firm's brand name is on more than 60 percent of the world's cards.

Because it makes its money from the fees it charges thousands of financial institutions, rather than from consumers, it isn't hurt by rising credit delinquencies. It also benefits from the rapid growth of debit cards, which are used more often than credit cards for basics such as groceries and gasoline.

The company's fiscal third-quarter profit grew 33 percent as consumers spent more and a greater number of credit card payments were made. Chairman and CEO Joseph Saunders said volume growth is increasing and that he is "increasingly optimistic that economic growth will gradually improve".

Visa is also paying $2 billion in cash to buy CyberSource Corp., a provider of electronic-payment security services to online merchants. The fraud prevention technology of CyberSource is expected to increase online use of Visa credit, debit and prepaid cards.

The deal, which must be approved by CyberSource shareholders, is expected to close by the end of its fiscal fourth quarter that ends in September.

Shares of Visa (V) are down four percent this year following last year's 68 percent rise. The company has an outstanding balance sheet, growing cash flows and little debt.

Another indication Visa is bullish on the economy is the fact that it plans to open a new customer service center near Miami International Airport later this year that will create 350 jobs in its Global Customer Care Services Group.

The San Francisco-based company, which advertises heavily, was incorporated in 2007 as an initial public offering. It owns and operates VisaNet, a global payment processor that handles authorisation, clearing and settlement of transactions.

The consensus Wall Street recommendation on Visa shares is "buy," according to Thomson Reuters, consisting of 17 "strong buys," 13 "buys" and five "holds."

The card business is a competitive one. American Express has been taking market share away from Visa in the US, a trend that most experts believe will continue. MasterCard and Discover are other aggressive competitors. Visa also faces some lawsuits that claim anticompetitive and anti-consumer practices.

Earnings are expected to rise 33 percent in the fiscal year ending in September and increase 21 percent the following fiscal year. The five-year annualised earnings growth projection of 20 percent is double that expected for the business services industry.

Q. What's your investment opinion on Vanguard Growth Equity, which has been one of my holdings?—C.B., via the Internet

A. Easy does it: As Vanguard Group attempted to calm down this fund's volatility, it has undergone considerable change with management now split between two separate advisers.

Half of the portfolio has been run by Mick Brewis of Baillie Gifford in Scotland since 2008 and the other half by Kathleen McCarragher of Jennison Associates since last year.

They came on board as Vanguard phased out long-time management firm Turner Investment Partners, which had an aggressive momentum-chasing style and traded frequently. Brewis and McCarragher have solid long-term records elsewhere and this fund features low expenses.

The $651 million Vanguard Growth Equity Fund (VGEQX) is up 31 percent over the past 12 months to rank in the top one-fourth of large growth funds. Its three-year annualised decline of six percent places it in the lowest one-fourth of its peers.

"We recommend Vanguard Growth Equity Fund because the new managers have the potential to lower the volatility of the fund so it will probably be easier to own going forward," said Sonya Morris, analyst with Morningstar Inc. in Chicago. "However, we were critical of the timing of the management change, as Vanguard fired Turner right at the bottom when market conditions subsequently favoured its approach."

The Baillie Gifford firm prefers leading firms with strong balance sheets and the ability to increase earnings faster than the overall market. Jennison seeks firms whose revenues are growing faster than the Standard & Poor's 500 and whose franchises are defensible.

"It's been a short time since they've taken charge, but it has held its own, performing on a par with its category," observed Morris. "But it's too soon to say much more than that."

Healthcare and hardware are the fund's two largest concentrations, each at about 17 percent of portfolio. Top holdings include Apple, Cisco Systems, Microsoft, Progressive, Google, PepsiCo, Johnson & Johnson, Berkshire Hathaway and Schlumberger.