Jack Bowers, a leading specialist on the Fidelity family of funds, maintains several portfolios, including one focused on Fidelity's Select series. Here, the editor of Fidelity Monitor & Insight reviews three of his current "Select" holdings.

Amazon (AMZN), accounts for 21% of assets at Fidelity Select Consumer Discretionary (FSCPX). Beyond that, the fund invests in retailers and brands that are holding up well in an age of on-line disruption, with smaller positions in restaurants and hotels.

Stable energy prices and full employment suggest that consumer spending should hold up well even if economic growth slows further in 2020.

And with the lowest-income consumers now seeing the biggest wage gains (percentage-wise), the fund’s fast-food and dollar store holdings should benefit, too. Our model position is twice the weight of the group in the S&P 500, making it our biggest bet.

Fidelity Select Financial Services (FIDSX) includes banks, brokerages, consumer finance, and insurance stocks.

Unlike many value sectors, the long-term outlook for this group is on firm ground, thanks to the large amount of consolidation and cost-cutting that took place over the last decade.

Stock values remain relatively cheap, regulatory relief is helping, and wage gains are allowing domestic consumers to borrow and spend at normal levels, even as economic growth slows due to global headwinds.

Fidelity Select Technology (FSPTX) invests in communications equipment, hardware, IT services  — mostly financial transaction processors such as Visa (V) and Mastercard (MA), software and chipmakers.

New manager Nidhi Gupta got this fund back on track performance-wise by moving it closer to its benchmark in 2019, which reduced exposure to FANGs and other tech disruptors (several of these firms were phased out of the tech sector benchmark following the 2018 GICS reclassification).

With 20% in hardware and storage, and 17% in chips and chipmaking equipment, this fund should benefit from the continuing demand growth stemming from television streaming, solid state hard drives, data centers and cloud computing.

The emerging demand for Artificial Intelligence (AI) applications also has potential to benefit chipmakers more than software firms.

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