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5 Fidelity Mutual Funds to Build a Solid Portfolio
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Headquartered in Boston, MA, Fidelity Investment, is one of the oldest and most trusted mutual fund companies in the world. The company was founded in 1946 and had 44.2 million individual investors and $12.6 trillion of assets under administration as of Dec 31, 2023. Fidelity Investment company has more than 7,4000 associates in nine countries across North America, Europe, Asia and Australia to carry out extensive and in-depth research and provide potential investment avenues worldwide for their clients.
The company provides best-in-the-class financial planning, advisory services, retirement planning wealth management, brokerage services, and college services to its clients. Thus, investors who wish to diversify their portfolio among various asset classes but lack professional expertise in managing funds can choose Fidelity mutual funds as their preferred investment choice. Fidelity Investment company sells its mutual fund products directly to its clients, which results in a zero-load charge.
Currently, the annual Consumer Price Index (CPI) continues to climb in March, following the trend in the past couple of months. Deviating from the Federal Reserves’ expectation of 2% inflation, annual CPI for the month of March rose to 3.5%, marking a 0.3 percentage point increase from February. The CPI is one of the key factors for the Federal Reserve’s policy rate decisions ahead. Though the Fed’s comment earlier suggested multiple rates cut this year, the current situation undermines the possibility of interest rate cuts in the near future. However, investors are keen for a rate cut as a high interest rate is weighing on corporate profitability, causing volatility in stock markets.
Investing in Fidelity mutual funds is a compelling choice since they have given positive returns in the past and are expected to perform well in the long run. We have thus selected five Fidelity mutual funds that have wide exposure in industries like finance, industrial cyclical, utilities, services, technology, non-durable and energy. These have not only preserved investors’ wealth but also generated excellent returns.
These funds boast a Zacks Mutual Fund Rank #1 (Strong Buy), have positive three-year and five-year annualized returns, and minimum initial investments within $5000. The funds carry an expense ratio of 1% or less. Notably, mutual funds, in general, reduce transaction costs and diversify portfolios without an array of commission charges mostly associated with stock purchases (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
Fidelity Select Energy (FSENX - Free Report) fund invests most of its net assets in common stocks of domestic and foreign companies that are principally engaged in the energy field, including the conventional areas of oil, gas, electricity, and coal, and newer sources of energy such as nuclear, geothermal, oil shale and solar power. FSENX advisors choose to invest in stocks based on fundamental analysis factors like financial condition and industry position, along with market and economic conditions.
Maurice FitzMaurice has been the lead manager of FSENX since Dec 31, 2019. Most of the fund’s exposure is in companies like Exxon Mobil (23.9%), Canadian Natural Resources (5.6%) and Cenovus Energy (5.2%) as of Nov 30, 2023.
FSENX’s three-year and five-year annualized returns are almost 28.2% and 11.6%, respectively. FSENX has an annual expense ratio of 0.73%.
To see how this fund performed compared to its category and other 1, 2, and 3 Ranked Mutual Funds, please click here.
Fidelity Select Semiconductors Portfolio (FSELX - Free Report) fund invests most of its net assets in common stocks of domestic and foreign companies that arep rincipally engaged in the design, manufacture, or sale of semiconductors and semiconductor equipment. FSELX advisors choose to invest in stocks based on fundamental analysis factors like financial condition and industry position, along with market and economic conditions.
Adam Benjamin has been the lead manager of FSELX since Mar 15, 2020. Most of the fund’s exposure is in companies like NVIDIA (24.5%), NXP Semiconductors (9.1%) and ON Semiconductor (7.5%) as of Nov 30, 2023.
FSELX’s three-year and five-year annualized returns are 27.9% and 35%, respectively. FSELX has an annual expense ratio of 0.68%.
Fidelity New Millennium Fund (FMILX - Free Report) invests most of its net assets in common stocks of small and medium-sized companies with either growth or value or sometimes both characteristics. FMILX advisors generally invest in companies that may benefit from long-term changes due to technological advances, product innovation, economic plans, demographics, social attitudes, and other factors.
Daniel Sherwood has been the lead manager of FMILX since Oct 19, 2022. Most of the fund’s exposure is in companies like Microsoft (6.6%), Apple (4.9%) and NVIDIA (3.1%), as of Aug 31, 2023.
FMILX has three-year and five-year annualized returns of 15.2% and 15.3%, respectively. FMILX has an annual expense ratio of 0.86% compared to the category average of 0.94%.
Fidelity Select Brokerage & Investment (FSLBX - Free Report) invests most of its net assets in securities of companies engaged in the exchange of financial instruments, stock brokerage, commodity brokerage, investment banking, tax-advantaged investment or investment sales, investment management, or related investment advisory and financial decision support services. FSLBX advisors invest in both domestic and foreign companies.
Pierre Sorel has been the lead manager of FSLBX since Feb 29, 2024. Most of the fund’s exposure is in companies like Moody’s (8%), S&P Global (6.9%) and Black Rock (6.1%) as of Nov 30, 2023.
FSLBX’s three-year and five-year annualized returns are almost 13.9% and 17.6%, respectively. FSLBX has an annual expense ratio of 0.76%.
Fidelity Mid Cap Value (FCMVX - Free Report) invests most of its net assets in common stocks of small and medium-sized companies with market capitalization similar to the companies listed on the Russell Midcap Index or the S&P MidCap 400 Index at the time of purchase. FCMVX advisors may also invest in companies with small or larger market capitalizations.
Neil Nabar has been the lead manager of FCMVX since Jul 11, 2021. Most of the fund’s exposure is in companies like Welltower (3.1%), PG&E Corporation (1.5%) and Edison International (1.3%), as of Oct 31, 2023.
FCMVX has three-year and five-year annualized returns of 12.9% and 11%, respectively. FCMVX has an annual expense ratio of 0.45%.
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5 Fidelity Mutual Funds to Build a Solid Portfolio
Headquartered in Boston, MA, Fidelity Investment, is one of the oldest and most trusted mutual fund companies in the world. The company was founded in 1946 and had 44.2 million individual investors and $12.6 trillion of assets under administration as of Dec 31, 2023. Fidelity Investment company has more than 7,4000 associates in nine countries across North America, Europe, Asia and Australia to carry out extensive and in-depth research and provide potential investment avenues worldwide for their clients.
The company provides best-in-the-class financial planning, advisory services, retirement planning wealth management, brokerage services, and college services to its clients. Thus, investors who wish to diversify their portfolio among various asset classes but lack professional expertise in managing funds can choose Fidelity mutual funds as their preferred investment choice. Fidelity Investment company sells its mutual fund products directly to its clients, which results in a zero-load charge.
Currently, the annual Consumer Price Index (CPI) continues to climb in March, following the trend in the past couple of months. Deviating from the Federal Reserves’ expectation of 2% inflation, annual CPI for the month of March rose to 3.5%, marking a 0.3 percentage point increase from February. The CPI is one of the key factors for the Federal Reserve’s policy rate decisions ahead. Though the Fed’s comment earlier suggested multiple rates cut this year, the current situation undermines the possibility of interest rate cuts in the near future. However, investors are keen for a rate cut as a high interest rate is weighing on corporate profitability, causing volatility in stock markets.
Investing in Fidelity mutual funds is a compelling choice since they have given positive returns in the past and are expected to perform well in the long run. We have thus selected five Fidelity mutual funds that have wide exposure in industries like finance, industrial cyclical, utilities, services, technology, non-durable and energy. These have not only preserved investors’ wealth but also generated excellent returns.
These funds boast a Zacks Mutual Fund Rank #1 (Strong Buy), have positive three-year and five-year annualized returns, and minimum initial investments within $5000. The funds carry an expense ratio of 1% or less. Notably, mutual funds, in general, reduce transaction costs and diversify portfolios without an array of commission charges mostly associated with stock purchases (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
Fidelity Select Energy (FSENX - Free Report) fund invests most of its net assets in common stocks of domestic and foreign companies that are principally engaged in the energy field, including the conventional areas of oil, gas, electricity, and coal, and newer sources of energy such as nuclear, geothermal, oil shale and solar power. FSENX advisors choose to invest in stocks based on fundamental analysis factors like financial condition and industry position, along with market and economic conditions.
Maurice FitzMaurice has been the lead manager of FSENX since Dec 31, 2019. Most of the fund’s exposure is in companies like Exxon Mobil (23.9%), Canadian Natural Resources (5.6%) and Cenovus Energy (5.2%) as of Nov 30, 2023.
FSENX’s three-year and five-year annualized returns are almost 28.2% and 11.6%, respectively. FSENX has an annual expense ratio of 0.73%.
To see how this fund performed compared to its category and other 1, 2, and 3 Ranked Mutual Funds, please click here.
Fidelity Select Semiconductors Portfolio (FSELX - Free Report) fund invests most of its net assets in common stocks of domestic and foreign companies that arep rincipally engaged in the design, manufacture, or sale of semiconductors and semiconductor equipment. FSELX advisors choose to invest in stocks based on fundamental analysis factors like financial condition and industry position, along with market and economic conditions.
Adam Benjamin has been the lead manager of FSELX since Mar 15, 2020. Most of the fund’s exposure is in companies like NVIDIA (24.5%), NXP Semiconductors (9.1%) and ON Semiconductor (7.5%) as of Nov 30, 2023.
FSELX’s three-year and five-year annualized returns are 27.9% and 35%, respectively. FSELX has an annual expense ratio of 0.68%.
Fidelity New Millennium Fund (FMILX - Free Report) invests most of its net assets in common stocks of small and medium-sized companies with either growth or value or sometimes both characteristics. FMILX advisors generally invest in companies that may benefit from long-term changes due to technological advances, product innovation, economic plans, demographics, social attitudes, and other factors.
Daniel Sherwood has been the lead manager of FMILX since Oct 19, 2022. Most of the fund’s exposure is in companies like Microsoft (6.6%), Apple (4.9%) and NVIDIA (3.1%), as of Aug 31, 2023.
FMILX has three-year and five-year annualized returns of 15.2% and 15.3%, respectively. FMILX has an annual expense ratio of 0.86% compared to the category average of 0.94%.
Fidelity Select Brokerage & Investment (FSLBX - Free Report) invests most of its net assets in securities of companies engaged in the exchange of financial instruments, stock brokerage, commodity brokerage, investment banking, tax-advantaged investment or investment sales, investment management, or related investment advisory and financial decision support services. FSLBX advisors invest in both domestic and foreign companies.
Pierre Sorel has been the lead manager of FSLBX since Feb 29, 2024. Most of the fund’s exposure is in companies like Moody’s (8%), S&P Global (6.9%) and Black Rock (6.1%) as of Nov 30, 2023.
FSLBX’s three-year and five-year annualized returns are almost 13.9% and 17.6%, respectively. FSLBX has an annual expense ratio of 0.76%.
Fidelity Mid Cap Value (FCMVX - Free Report) invests most of its net assets in common stocks of small and medium-sized companies with market capitalization similar to the companies listed on the Russell Midcap Index or the S&P MidCap 400 Index at the time of purchase. FCMVX advisors may also invest in companies with small or larger market capitalizations.
Neil Nabar has been the lead manager of FCMVX since Jul 11, 2021. Most of the fund’s exposure is in companies like Welltower (3.1%), PG&E Corporation (1.5%) and Edison International (1.3%), as of Oct 31, 2023.
FCMVX has three-year and five-year annualized returns of 12.9% and 11%, respectively. FCMVX has an annual expense ratio of 0.45%.
Want key mutual fund info delivered straight to your inbox?
Zacks' free Fund Newsletter will brief you on top news and analysis, as well as top-performing mutual funds, each week. Get it free >>