Best Mutual Funds to Buy for a Market Correction: Fidelity Select Consumer Staples (FDFAX)
Minimum Initial Investment: $2,500
Another fund to make our list of best funds to buy in 2017, Fidelity Select Consumer Staples Portfolio (MUTF:FDFAX), would be a smart buy on a market correction.
Like the health sector, consumer staples were market laggards in 2016 but could be leaders in 2017 as markets turn volatile and downside pressure increases. That’s when investors turn to defensive sectors and funds that hold consumer staples stocks like FDFAX top holdings Procter & Gamble Co (NYSE:PG), British American Tobacco PLC (ADR) (NYSE:BTI) and CVS Health Corp (NYSE:CVS).
FDFAX would also fit nicely in a portfolio with our other choices for best mutual funds to buy for a market correction in 2017.
As of this writing, Kent Thune did not personally hold a position in any of the aforementioned securities. His No. 1 holding is his privately held investment advisory firm in Hilton Head Island, SC. Under no circumstances does this information represent a recommendation to buy or sell securities.