3 Best Fidelity Funds to Finish 2017

Fidelity funds - 3 Best Fidelity Funds to Finish 2017

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The second half of 2017 may be the most difficult to forecast in years, but investors can find what they need among the broad selection of Fidelity funds.

3 Best Fidelity Funds to Finish 2017

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Whether you want to make a sector play, get defensive or diversify, Fidelity funds are some of the best, low-cost mutual funds on the market today. In the latter part of 2017, this flexibility is sure to come in handy.

One strategy that can work in the second half of a calendar year is to buy into sectors that have momentum. In 2017, another idea is to get defensive and sector funds work in this strategy as well. Fortunately, Fidelity has some of the best sector funds to choose from to accomplish these goals. Thirdly, a good balanced fund can be the best idea for classic diversification.

With these three ideas in mind, we put together three of the best Fidelity funds to finish 2017.

Best Fidelity Funds to Finish 2017: Fidelity Select Biotechnology Portfolio (FBIOX)

Best Fidelity Funds to Finish 2017: Fidelity Select Biotechnology Portfolio (FBIOX)Expenses: 0.75%, or $75 for every $10,000 invested
Minimum Initial Investment: $2,500

Biotechnology stocks are top performers in the first half of 2017 and if they can keep up the momentum in the second half, Fidelity Select Biotechnology Portfolio (MUTF:FBIOX) may be the best fund to capture that momentum.

FBIOX is an actively managed fund that focuses heavily on biotech stocks like Amgen, Inc. (NASDAQ:AMGN), Celgene Corporation (NASDAQ:CELG), and Regeneron Pharmaceuticals Inc (NASDAQ:REGN).

Thanks to the massive comeback of biotech stocks in 2017, FBIOX gained more than 20% in the first half of the year. Although it’s a hot sector, and thus at risk for price volatility, the healthcare sub-sector looks like it has more room to run in the short-term.

Best Fidelity Funds to Finish 2017: Fidelity Select Consumer Staples Portfolio (FDFAX)

Best Fidelity Funds to Finish 2017: Fidelity Select Consumer Staples Portfolio (FDFAX)Expenses: 0.76%
Minimum Initial Investment: $2,500

With the broad market indices hitting historic highs, the second half of 2017 may be a smart time to begin transitioning into defensive funds like Fidelity Select Consumer Staples Portfolio (MUTF:FDFAX).

The consumer staples sector includes stocks of companies that sell products and services that consumers typically buy even in challenging economic environments. Examples include healthcare, food and tobacco.

So with this objective driving the stock selection, you’ll see names like top holdings Philip Morris International Inc. (NYSE:PM), British American Tobacco PLC (ADR) (NYSEMKT:BTI) and CVS Health Corp (NYSE:CVS) in the portfolio, which totals about 45 holdings.

Best Fidelity Funds to Finish 2017: Fidelity Select Consumer Staples Portfolio (FDFAX)

Best Fidelity Funds to Finish 2017: Fidelity Select Consumer Staples Portfolio (FDFAX)Expenses: 0.76%
Minimum Initial Investment: $2,500

In a market that can turn volatile at any given point, a smart move can be to buy shares of a balanced fund like Fidelity Select Consumer Staples Portfolio (MUTF:FDFAX).

With a return of 8.6% in just the first half of 2017, you might not think that this fund has a moderately allocated portfolio of about two-thirds stocks and one-third bonds.

The equity portion of the portfolio mostly holds large-cap U.S. stocks like Apple Inc. (NASDAQ:AAPL), Autodesk, Inc. (NASDAQ:ADSK) and Alphabet Inc (NASDAQ:GOOG, NASDAQ:GOOGL) and the fixed-income portion has a diverse blend of U.S. Treasuries and corporate bonds with a broad range of maturities.

As of this writing, Kent Thune did not personally hold a position in any of the aforementioned securities, although he holds FBALX in some client accounts. Under no circumstances does this information represent a recommendation to buy or sell securities.


Article printed from InvestorPlace Media, https://investorplace.com/2017/07/3-best-fidelity-funds-to-finish-2017-fbiox-fdfax-fbalx/.

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