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Is Fidelity Advisor Semiconductors A (FELAX) a Strong Mutual Fund Pick Right Now?
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If investors are looking at the Sector - Tech fund category, Fidelity Advisor Semiconductors A (FELAX - Free Report) could be a potential option. FELAX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
FELAX is part of the Sector - Tech category, which boasts an array of different possible selections. With a much more diversified approach, Sector - Tech mutual funds give investors a way to own a stake in a notoriously risky sector. Tech companies are in various industries like semiconductors, software, internet, and networking, among others.
History of Fund/Manager
Fidelity is responsible for FELAX, and the company is based out of Boston, MA. The Fidelity Advisor Semiconductors A made its debut in December of 2000 and FELAX has managed to accumulate roughly $289.54 million in assets, as of the most recently available information. The fund's current manager, Adam Benjamin, has been in charge of the fund since March of 2020.
Performance
Of course, investors look for strong performance in funds. FELAX has a 5-year annualized total return of 28.68% and it sits in the top third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 33.69%, 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. FELAX's standard deviation over the past three years is 26.6% compared to the category average of 16.66%. The fund's standard deviation over the past 5 years is 22.45% compared to the category average of 13.84%. 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 1.22, 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. FELAX's 5-year performance has produced a positive alpha of 7.92, which means managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, FELAX is a load fund. It has an expense ratio of 1.06% compared to the category average of 1.34%. FELAX is actually cheaper than its peers when you consider factors like cost.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.
Bottom Line
Overall, Fidelity Advisor Semiconductors A ( FELAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and lower fees, this fund looks like a good potential choice for investors right now.
Don't stop here for your research on Sector - Tech funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare FELAX to its peers 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 Semiconductors A (FELAX) a Strong Mutual Fund Pick Right Now?
If investors are looking at the Sector - Tech fund category, Fidelity Advisor Semiconductors A (FELAX - Free Report) could be a potential option. FELAX has a Zacks Mutual Fund Rank of 2 (Buy), which is based on nine forecasting factors like size, cost, and past performance.
Objective
FELAX is part of the Sector - Tech category, which boasts an array of different possible selections. With a much more diversified approach, Sector - Tech mutual funds give investors a way to own a stake in a notoriously risky sector. Tech companies are in various industries like semiconductors, software, internet, and networking, among others.
History of Fund/Manager
Fidelity is responsible for FELAX, and the company is based out of Boston, MA. The Fidelity Advisor Semiconductors A made its debut in December of 2000 and FELAX has managed to accumulate roughly $289.54 million in assets, as of the most recently available information. The fund's current manager, Adam Benjamin, has been in charge of the fund since March of 2020.
Performance
Of course, investors look for strong performance in funds. FELAX has a 5-year annualized total return of 28.68% and it sits in the top third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 33.69%, 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. FELAX's standard deviation over the past three years is 26.6% compared to the category average of 16.66%. The fund's standard deviation over the past 5 years is 22.45% compared to the category average of 13.84%. 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 1.22, 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. FELAX's 5-year performance has produced a positive alpha of 7.92, which means managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
Expenses
For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, FELAX is a load fund. It has an expense ratio of 1.06% compared to the category average of 1.34%. FELAX is actually cheaper than its peers when you consider factors like cost.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.
Bottom Line
Overall, Fidelity Advisor Semiconductors A ( FELAX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, worse downside risk, and lower fees, this fund looks like a good potential choice for investors right now.
Don't stop here for your research on Sector - Tech funds. We also have plenty more on our site in order to help you find the best possible fund for your portfolio. Make sure to check out www.zacks.com/funds/mutual-funds for more information about the world of funds, and feel free to compare FELAX to its peers 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.