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Is Fidelity Advisor Equity Growth M (FAEGX) a Strong Mutual Fund Pick Right Now?
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If investors are looking at the Large Cap Growth fund category, Fidelity Advisor Equity Growth M (FAEGX - Free Report) could be a potential option. FAEGX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We classify FAEGX in the Large Cap Growth category, an area rife with potential choices. Large Cap Growth funds invest in many large U.S. companies that are expected to grow much faster compared to other large-cap stocks. To be considered large-cap, companies must have a market cap over $10 billion.
History of Fund/Manager
Fidelity is based in Boston, MA, and is the manager of FAEGX. Fidelity Advisor Equity Growth M debuted in September of 1992. Since then, FAEGX has accumulated assets of about $1.84 billion, according to the most recently available information. The fund is currently managed by Jason Weiner who has been in charge of the fund since November of 2006.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 23.1%, 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 22%, 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. Compared to the category average of 16.18%, the standard deviation of FAEGX over the past three years is 19.72%. The standard deviation of the fund over the past 5 years is 16.23% compared to the category average of 13.35%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 0.99, so investors should note that it is hypothetically as volatile as 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. FAEGX has generated a positive alpha over the past five years of 5.62, demonstrating that managers in this portfolio are skilled in picking 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 principally on equities that are traded in the United States.
Currently, this mutual fund is holding 78.46% stock in stocks, which have an average market capitalization of $562.24 billion. The fund has the heaviest exposure to the following market sectors:
Technology
Retail Trade
Finance
Turnover is about 50%, so those in charge of the fund make fewer trades than its comparable peers.
Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, FAEGX is a load fund. It has an expense ratio of 1.21% compared to the category average of 1.02%. FAEGX is actually more expensive than its peers when you consider factors like cost.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Overall, Fidelity Advisor Equity Growth M ( FAEGX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, this fund looks like a good potential choice for investors right now.
This could just be the start of your research on FAEGXin the Large Cap Growth category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.
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Is Fidelity Advisor Equity Growth M (FAEGX) a Strong Mutual Fund Pick Right Now?
If investors are looking at the Large Cap Growth fund category, Fidelity Advisor Equity Growth M (FAEGX - Free Report) could be a potential option. FAEGX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
We classify FAEGX in the Large Cap Growth category, an area rife with potential choices. Large Cap Growth funds invest in many large U.S. companies that are expected to grow much faster compared to other large-cap stocks. To be considered large-cap, companies must have a market cap over $10 billion.
History of Fund/Manager
Fidelity is based in Boston, MA, and is the manager of FAEGX. Fidelity Advisor Equity Growth M debuted in September of 1992. Since then, FAEGX has accumulated assets of about $1.84 billion, according to the most recently available information. The fund is currently managed by Jason Weiner who has been in charge of the fund since November of 2006.
Performance
Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 23.1%, 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 22%, 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. Compared to the category average of 16.18%, the standard deviation of FAEGX over the past three years is 19.72%. The standard deviation of the fund over the past 5 years is 16.23% compared to the category average of 13.35%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
The fund has a 5-year beta of 0.99, so investors should note that it is hypothetically as volatile as 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. FAEGX has generated a positive alpha over the past five years of 5.62, demonstrating that managers in this portfolio are skilled in picking 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 principally on equities that are traded in the United States.
Currently, this mutual fund is holding 78.46% stock in stocks, which have an average market capitalization of $562.24 billion. The fund has the heaviest exposure to the following market sectors:
- Technology
- Retail Trade
- Finance
Turnover is about 50%, so those in charge of the fund make fewer trades than its comparable peers.Expenses
As competition heats up in the mutual fund market, costs become increasingly important. Compared to its otherwise identical counterpart, a low-cost product will be an outperformer, all other things being equal. Thus, taking a closer look at cost-related metrics is vital for investors. In terms of fees, FAEGX is a load fund. It has an expense ratio of 1.21% compared to the category average of 1.02%. FAEGX is actually more expensive than its peers when you consider factors like cost.
While the minimum initial investment for the product is $0, investors should also note that there is no minimum for each subsequent investment.
Bottom Line
Overall, Fidelity Advisor Equity Growth M ( FAEGX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and higher fees, this fund looks like a good potential choice for investors right now.
This could just be the start of your research on FAEGXin the Large Cap Growth category. Consider going to www.zacks.com/funds/mutual-funds for additional information about this fund, and all the others that we rank as well for additional information. For analysis of the rest of your portfolio, make sure to visit Zacks.com for our full suite of tools which will help you investigate all of your stocks and funds in one place.