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Is Fidelity Small Cap Value (FCPVX) a Strong Mutual Fund Pick Right Now?
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On the lookout for a Small Cap Value fund? Starting with Fidelity Small Cap Value (FCPVX - Free Report) is one possibility. FCPVX carries a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
The world of Small Cap Value mutual funds is an area filled with options, such as FCPVX. Small Cap Value funds invest in small companies with stock market valuation less than $2 billion. These funds offer more bang for an owner's buck, providing low P/E ratios, high dividend yields, and better-than-average P/S ratios.
History of Fund/Manager
FCPVX finds itself in the Fidelity family, based out of Boston, MA. Since Fidelity Small Cap Value made its debut in November of 2004, FCPVX has garnered more than $1.98 billion in assets. Derek Janssen is the fund's current manager and has held that role since February of 2021.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 12.88%, and is in the top third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 10.72%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. FCPVX's standard deviation over the past three years is 25.38% compared to the category average of 17.04%. Looking at the past 5 years, the fund's standard deviation is 20.55% compared to the category average of 14.2%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should note that the fund has a 5-year beta of 1.18, which means it is hypothetically more volatile than the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. FCPVX's 5-year performance has produced a negative alpha of -5.2, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is primarily on equities that are traded in the United States.
The mutual fund currently has 85.64% of its holdings in stocks, with an average market capitalization of $3.61 billion. The fund has the heaviest exposure to the following market sectors:
Finance
Other
Industrial Cyclical
With turnover at about 109%, this fund is making more trades per year than the comparable average.
Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, FCPVX is a no load fund. It has an expense ratio of 0.94% compared to the category average of 1.25%. From a cost perspective, FCPVX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $0 and that each subsequent investment has no minimum amount.
Bottom Line
Overall, Fidelity Small Cap Value ( FCPVX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and lower fees, Fidelity Small Cap Value ( FCPVX ) looks like a good potential choice for investors right now.
Want even more information about FCPVX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis for additional information. And don't forget, Zacks has all of your needs covered on the equity side too! Make sure to check out Zacks.com for more information on our screening capabilities, Rank, and all our articles as well.
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Is Fidelity Small Cap Value (FCPVX) a Strong Mutual Fund Pick Right Now?
On the lookout for a Small Cap Value fund? Starting with Fidelity Small Cap Value (FCPVX - Free Report) is one possibility. FCPVX carries a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
The world of Small Cap Value mutual funds is an area filled with options, such as FCPVX. Small Cap Value funds invest in small companies with stock market valuation less than $2 billion. These funds offer more bang for an owner's buck, providing low P/E ratios, high dividend yields, and better-than-average P/S ratios.
History of Fund/Manager
FCPVX finds itself in the Fidelity family, based out of Boston, MA. Since Fidelity Small Cap Value made its debut in November of 2004, FCPVX has garnered more than $1.98 billion in assets. Derek Janssen is the fund's current manager and has held that role since February of 2021.
Performance
Obviously, what investors are looking for in these funds is strong performance relative to their peers. This fund carries a 5-year annualized total return of 12.88%, and is in the top third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 10.72%, which places it in the top third during this time-frame.
When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. FCPVX's standard deviation over the past three years is 25.38% compared to the category average of 17.04%. Looking at the past 5 years, the fund's standard deviation is 20.55% compared to the category average of 14.2%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
Investors should note that the fund has a 5-year beta of 1.18, which means it is hypothetically more volatile than the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. FCPVX's 5-year performance has produced a negative alpha of -5.2, which means managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.
Holdings
Investigating the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is primarily on equities that are traded in the United States.
The mutual fund currently has 85.64% of its holdings in stocks, with an average market capitalization of $3.61 billion. The fund has the heaviest exposure to the following market sectors:
- Finance
- Other
- Industrial Cyclical
With turnover at about 109%, this fund is making more trades per year than the comparable average.Expenses
Costs are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, FCPVX is a no load fund. It has an expense ratio of 0.94% compared to the category average of 1.25%. From a cost perspective, FCPVX is actually cheaper than its peers.
Investors should also note that the minimum initial investment for the product is $0 and that each subsequent investment has no minimum amount.
Bottom Line
Overall, Fidelity Small Cap Value ( FCPVX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and lower fees, Fidelity Small Cap Value ( FCPVX ) looks like a good potential choice for investors right now.
Want even more information about FCPVX? Then go over to Zacks.com and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis for additional information. And don't forget, Zacks has all of your needs covered on the equity side too! Make sure to check out Zacks.com for more information on our screening capabilities, Rank, and all our articles as well.