Jack Bowers is an industry-leading expert focused exclusively on funds in the Fidelity family; here, the editor of Fidelity Monitor & Insight looks at a diversified fund chosen as his top growth-oriented idea.

The popularity of the S&P 500 as an indexing vehicle (some $2 trillion is now directly linked to it) has created a contrarian opportunity for the 3200 mid-caps and small-caps that account for the rest of the U.S. stock market's capitalization.

Over the last five years these smaller stocks faced heavy selling pressure as investors dumped actively managed funds in favor of large cap index vehicles.

Now the S&P 500 firms have a price-to-sales ratio of 1.8 and face a headwind from slowing foreign sales and a stronger dollar.

At the same time, the stocks in the Fidelity Extended Market Index (FSEMX) – our Top Pick selection for 2017 -- have a price-to-sales ratio of 1.2 and are likely to enjoy a tailwind from a strengthening U.S. economy.

The Extended Market Index is about 30% more volatile than the S&P 500, but I expect it to outperform the S&P 500 by 3 percentage points per year over the next decade.

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