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Is Fidelity Growth & Income Portfolio (FGRIX) a Strong Mutual Fund Pick Right Now?
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Any investors hoping to find a Large Cap Blend fund could think about starting with Fidelity Growth & Income Portfolio (FGRIX - Free Report) . FGRIX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
FGRIX is part of the Large Cap Blend section, an area that boasts an array of many possible options. Large Cap Blend mutual funds most often invest in firms with a market capitalization of $10 billion or more. By investing in bigger companies, these funds offer more stability, and are often well-suited for investors with a 'buy and hold' mindset. Blended funds mix large, established companies into their holdings, which gives investors exposure to both value and growth at the same time.
History of Fund/Manager
Fidelity is based in Boston, MA, and is the manager of FGRIX. The Fidelity Growth & Income Portfolio made its debut in December of 1985 and FGRIX has managed to accumulate roughly $10.97 billion in assets, as of the most recently available information. The fund's current manager, Matthew Fruhan, has been in charge of the fund since February of 2011.
Performance
Of course, investors look for strong performance in funds. This fund in particular has delivered a 5-year annualized total return of 13.46%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 18.62%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
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. FGRIX's standard deviation over the past three years is 11.37% compared to the category average of 10.63%. Over the past 5 years, the standard deviation of the fund is 14.56% compared to the category average of 12.87%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 0.88, the fund is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. Over the past 5 years, the fund has a positive alpha of 2.26. This means that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
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, FGRIX is a no load fund. It has an expense ratio of 0.53% compared to the category average of 0.90%. From a cost perspective, FGRIX is actually cheaper than its peers.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.
Fees charged by investment advisors have not been taken into consideration. Returns would be less if those were included.
Bottom Line
Overall, Fidelity Growth & Income Portfolio ( FGRIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, Fidelity Growth & Income Portfolio ( FGRIX ) looks like a good potential choice for investors right now.
Want even more information about FGRIX? 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. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.
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Is Fidelity Growth & Income Portfolio (FGRIX) a Strong Mutual Fund Pick Right Now?
Any investors hoping to find a Large Cap Blend fund could think about starting with Fidelity Growth & Income Portfolio (FGRIX - Free Report) . FGRIX holds a Zacks Mutual Fund Rank of 1 (Strong Buy), which is based on various forecasting factors like size, cost, and past performance.
Objective
FGRIX is part of the Large Cap Blend section, an area that boasts an array of many possible options. Large Cap Blend mutual funds most often invest in firms with a market capitalization of $10 billion or more. By investing in bigger companies, these funds offer more stability, and are often well-suited for investors with a 'buy and hold' mindset. Blended funds mix large, established companies into their holdings, which gives investors exposure to both value and growth at the same time.
History of Fund/Manager
Fidelity is based in Boston, MA, and is the manager of FGRIX. The Fidelity Growth & Income Portfolio made its debut in December of 1985 and FGRIX has managed to accumulate roughly $10.97 billion in assets, as of the most recently available information. The fund's current manager, Matthew Fruhan, has been in charge of the fund since February of 2011.
Performance
Of course, investors look for strong performance in funds. This fund in particular has delivered a 5-year annualized total return of 13.46%, and is in the top third among its category peers. But if you are looking for a shorter time frame, it is also worth looking at its 3-year annualized total return of 18.62%, which places it in the middle third during this time-frame.
It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower.
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. FGRIX's standard deviation over the past three years is 11.37% compared to the category average of 10.63%. Over the past 5 years, the standard deviation of the fund is 14.56% compared to the category average of 12.87%. This makes the fund more volatile than its peers over the past half-decade.
Risk Factors
With a 5-year beta of 0.88, the fund is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. Over the past 5 years, the fund has a positive alpha of 2.26. This means that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns.
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, FGRIX is a no load fund. It has an expense ratio of 0.53% compared to the category average of 0.90%. From a cost perspective, FGRIX is actually cheaper than its peers.
Investors need to be aware that with this product, the minimum initial investment is $0; each subsequent investment has no minimum amount.
Fees charged by investment advisors have not been taken into consideration. Returns would be less if those were included.
Bottom Line
Overall, Fidelity Growth & Income Portfolio ( FGRIX ) has a high Zacks Mutual Fund rank, and in conjunction with its comparatively strong performance, average downside risk, and lower fees, Fidelity Growth & Income Portfolio ( FGRIX ) looks like a good potential choice for investors right now.
Want even more information about FGRIX? 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. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike.