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Fidelity Investments is one of the largest and oldest mutual fund companies in the world. The company seeks to provide investment advice, discount brokerage services, retirement services, wealth management services, securities execution, and clearance and life insurance products to its clients. At Fidelity, a large group of investment professionals carry out extensive and in-depth research to provide potential investment avenues worldwide for their investors.
To top it, low expenses, effective fund management and the ability to survive market volatility have resulted in strong fund performance. Let’s find out how Fidelity mutual funds have performed in the first half of this year.
Fidelity’s Performance in the First Six Months of 2019
By the end of the first half of the year, Fidelity Investments had more than $2 trillion of assets under management. The initial investment of majority Fidelity mutual funds ranges from $0 to $2,500.
Further, Fidelity Select Health Care Portfolio (FSPHX - Free Report) turned up as one of the best performing mutual funds from the Fidelity family. FSPHX, which invests a bulk of its assets in common stocks of companies principally engaged in the design, manufacture or sale of products or services used for or in connection with health care or medicine, returned 15.1% in the first quarter and has added 13.4% so far this year.
What Contributed to Gains?
Fidelity invests in a variety of sectors that are sensitive, cyclical and defensive. From the sensitive sectors, most investments were made in the technology sector. In the cyclical sectors, the fund family invested the maximum in the financial services sector, while among defensive sectors it is invested heavily in healthcare.
Technology Select Sector SPDR (XLK) climbed 27.8% in the first half of this year, emerging as one of the best performing sectors in the first quarter among the 11 S&P 500 sectors. Also, as of Jul 3, 2019, technology mutual funds collectively delivered impressive returns of 25.9% in the year-to-date period, according to Morningstar. The financial and healthcare mutual funds too registered year-to-date returns of 18.7% and 15.3%, respectively.
4 Best Funds to Buy Now
Given such circumstances, we have highlighted four Fidelity mutual funds carrying a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy) that are poised to gain from such factors. Moreover, these funds have encouraging year-to-date (YTD) returns. Additionally, the minimum initial investment is within $5000.
We expect these funds to outperform their peers in the future. Remember, the goal of the Zacks Mutual Fund Rank is to guide investors to identify potential winners and losers. Unlike most of the fund-rating systems, the Zacks Mutual Fund Rank is not just focused on past performance, but also on the likely future success of the fund.
The question here is: why should investors consider mutual funds? Reduced transaction costs and diversification of portfolio without several commission charges that are associated with stock purchases are primarily why one should be parking money in mutual funds (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
Fidelity Select Semiconductors (FSELX - Free Report) fund invests the bulk of its assets in common stocks of companies involved in the manufacture, design and sale of electronic equipment and components. FSELX seeks growth of capital. The fund invests in both U.S. companies and non-U.S. companies.
This Sector - Tech product has a history of positive total returns for over 10 years. Specifically, the fund has returned 27.4% over the YTD period. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
The fund carries a Zacks Mutual Fund Rank #1 and has an annual expense ratio of 0.73%, which is below the category average of 1.29%.
Fidelity Select Portfolio Medical Technology And Devices Portfolio (FSMEX - Free Report) fund invests 80% of its assets in securities of companies engaged in manufacturing and distribution of medical devices and equipment. The fund invests in both U.S. and non-U.S. stocks.
This Zacks sector – Health product has a history of positive total returns for more than 10 years. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
FSMEX has a Zacks Mutual Fund Rank #1 and an annual expense ratio of 0.73%, which is below the category average of 1.22%. The fund has YTD returns of 16.2%.
Fidelity Select Software & IT Services Portfolio No Load (FSCSX - Free Report) fund invests the majority of its assets in companies whose primary operations are related to software or information-based services. It primarily focuses on acquiring common stocks of both domestic and foreign companies.
This Sector - Tech product has a history of positive total returns for over 10 years. Specifically, the fund has returned 25.9% over the YTD period. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
The fund carries a Zacks Mutual Fund Rank #2 and has an annual expense ratio of 0.72%, which is below the category average of 1.29%.
Fidelity Select Consumer Finance Portfolio (FSVLX - Free Report) fund seeks appreciation of capital. FSVLX invests more than 80% of its assets in equity securities of companies involved in offering products and services related to consumer finance. The fund considers financial strength and economic conditions before investing in a company. FSVLX invests in both U.S.- based and well as non-U.S.-based companies.
This Zacks sector – Finance product has a history of positive total returns for more than 10 years. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
FSVLX has a Zacks Mutual Fund Rank #1 and an annual expense ratio of 0.87%, which is below the category average of 1.40%. The fund has YTD returns of 26.1%.
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4 Best Fidelity Mutual Funds From 1H19
Fidelity Investments is one of the largest and oldest mutual fund companies in the world. The company seeks to provide investment advice, discount brokerage services, retirement services, wealth management services, securities execution, and clearance and life insurance products to its clients. At Fidelity, a large group of investment professionals carry out extensive and in-depth research to provide potential investment avenues worldwide for their investors.
To top it, low expenses, effective fund management and the ability to survive market volatility have resulted in strong fund performance. Let’s find out how Fidelity mutual funds have performed in the first half of this year.
Fidelity’s Performance in the First Six Months of 2019
By the end of the first half of the year, Fidelity Investments had more than $2 trillion of assets under management. The initial investment of majority Fidelity mutual funds ranges from $0 to $2,500.
Further, Fidelity Select Health Care Portfolio (FSPHX - Free Report) turned up as one of the best performing mutual funds from the Fidelity family. FSPHX, which invests a bulk of its assets in common stocks of companies principally engaged in the design, manufacture or sale of products or services used for or in connection with health care or medicine, returned 15.1% in the first quarter and has added 13.4% so far this year.
What Contributed to Gains?
Fidelity invests in a variety of sectors that are sensitive, cyclical and defensive. From the sensitive sectors, most investments were made in the technology sector. In the cyclical sectors, the fund family invested the maximum in the financial services sector, while among defensive sectors it is invested heavily in healthcare.
Technology Select Sector SPDR (XLK) climbed 27.8% in the first half of this year, emerging as one of the best performing sectors in the first quarter among the 11 S&P 500 sectors. Also, as of Jul 3, 2019, technology mutual funds collectively delivered impressive returns of 25.9% in the year-to-date period, according to Morningstar. The financial and healthcare mutual funds too registered year-to-date returns of 18.7% and 15.3%, respectively.
4 Best Funds to Buy Now
Given such circumstances, we have highlighted four Fidelity mutual funds carrying a Zacks Mutual Fund Rank #1 (Strong Buy) or 2 (Buy) that are poised to gain from such factors. Moreover, these funds have encouraging year-to-date (YTD) returns. Additionally, the minimum initial investment is within $5000.
We expect these funds to outperform their peers in the future. Remember, the goal of the Zacks Mutual Fund Rank is to guide investors to identify potential winners and losers. Unlike most of the fund-rating systems, the Zacks Mutual Fund Rank is not just focused on past performance, but also on the likely future success of the fund.
The question here is: why should investors consider mutual funds? Reduced transaction costs and diversification of portfolio without several commission charges that are associated with stock purchases are primarily why one should be parking money in mutual funds (read more: Mutual Funds: Advantages, Disadvantages, and How They Make Investors Money).
Fidelity Select Semiconductors (FSELX - Free Report) fund invests the bulk of its assets in common stocks of companies involved in the manufacture, design and sale of electronic equipment and components. FSELX seeks growth of capital. The fund invests in both U.S. companies and non-U.S. companies.
This Sector - Tech product has a history of positive total returns for over 10 years. Specifically, the fund has returned 27.4% over the YTD period. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
The fund carries a Zacks Mutual Fund Rank #1 and has an annual expense ratio of 0.73%, which is below the category average of 1.29%.
Fidelity Select Portfolio Medical Technology And Devices Portfolio (FSMEX - Free Report) fund invests 80% of its assets in securities of companies engaged in manufacturing and distribution of medical devices and equipment. The fund invests in both U.S. and non-U.S. stocks.
This Zacks sector – Health product has a history of positive total returns for more than 10 years. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
FSMEX has a Zacks Mutual Fund Rank #1 and an annual expense ratio of 0.73%, which is below the category average of 1.22%. The fund has YTD returns of 16.2%.
Fidelity Select Software & IT Services Portfolio No Load (FSCSX - Free Report) fund invests the majority of its assets in companies whose primary operations are related to software or information-based services. It primarily focuses on acquiring common stocks of both domestic and foreign companies.
This Sector - Tech product has a history of positive total returns for over 10 years. Specifically, the fund has returned 25.9% over the YTD period. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
The fund carries a Zacks Mutual Fund Rank #2 and has an annual expense ratio of 0.72%, which is below the category average of 1.29%.
Fidelity Select Consumer Finance Portfolio (FSVLX - Free Report) fund seeks appreciation of capital. FSVLX invests more than 80% of its assets in equity securities of companies involved in offering products and services related to consumer finance. The fund considers financial strength and economic conditions before investing in a company. FSVLX invests in both U.S.- based and well as non-U.S.-based companies.
This Zacks sector – Finance product has a history of positive total returns for more than 10 years. To see how this fund performed compared in its category, and other 1 and 2 Ranked Mutual Funds, please click here.
FSVLX has a Zacks Mutual Fund Rank #1 and an annual expense ratio of 0.87%, which is below the category average of 1.40%. The fund has YTD returns of 26.1%.
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 >>