Expense Ratio: 0.74%
When equity funds get large — say over $25 billion — it’s tougher to generate strong returns. After all, even if a manager buys a small-cap growth company, a big move will likely have a negligible impact on the fund’s overall gain.
Will Danoff — who operates the Fidelity Contrafund (FCNTX) — does not seem to be bothered with this, though. His fund has $93.7 billion in net assets, yet he still finds ways to achieve stellar returns.
And Danoff is not just a flash in the pan. He has been running the FCNTX fund since 1990 and thus has a pretty good feel for how to handle just about any type of market environment. Plus, Danoff also has the benefit of a strong bench of top-notch analysts.
The returns support this. For the past three years, FCNTX has posted an average return of 16.8%. The top holdings currently include Google (GOOG), Berkshire Hathaway (BRK.A, BRK.B) and Coca-Cola (KO).