Lowell: Invest with Fidelity
01/10/2003 12:00 am EST
If you invest through Fidelity mutual funds, Fidelity Investor is a must-read. Editor Jim Lowell analyzes the entire world of Fidelity funds, assessing the past and expected future performance of individual funds and developing various portfolios. Rather than select a single fund for 2003, Lowell offers a favorite portfolio comprised of Fidelity funds.
"Here is our 2003 Defensive Growth Portfolio, which offers long-term opportunity for both capital appreciation and capital preservation with less political and economic risks relative to the region and markets they invest in. I’d place 10% in each of the following 10 funds.
"Fidelity Dividend Growth (FDGTX ) remains my top choice for a core, defensive growth fund from any fund family. Manager Charles Mangum has a rock solid history of losing less when the going gets tough, and running ahead of the pack when the bulls come back. Fidelity Growth Co. (FDGRX ) and Fidelity OTC (FOCPX) are ably managed by Steve Wymer and Jason Weiner, both of whom are well-suited for the longer-term investor willing to invest in today’s and tomorrow’s potential blue chips with less risk than the NASDAQ or the QQQs.
"Fidelity Aggressive International (FIVFX) lets you cast beyond our own pond for a concentrated portfolio (60 issues) of large-cap established market plays. Fidelity International Small Cap (FISMX) offers a broader playing field of lesser-known, more-inefficient, and hence potentially more profitable international small companies. Fidelity Select Healthcare (FSPHX) invests in a sector with solid fundamentals, the potential for sustainable earnings and growth for years to come. These funds offer long-term opportunity albeit with less or more political and economic risks.
"In addition, Fidelity High Income (SPHIX), Fidelity Strategic Income(FSIAX), Fidelity Total Bond (FTBFX), and Fidelity Cash Reserves (FDRXX) ensure you don’t overstep the bounds of interest rate, credit, or market risk in 2003."
The key risk-on and off drivers today are the same – U.S. politics, global growth, other centr...