During volatile times like the second half of 2011, a few days can seem like eternity in the stock market. Price changes, that would normally take several months or years to materialize, transpire in just a few days. In such environments, the flexibility to change investments in no load no fee mutual funds without being tethered by rules can be a plus.

Fidelity FundsNetwork Eases NTF Mutual Funds Rule

Responding to requests from many investors including yours truly, Fidelity has relaxed its 180-day holding period requirement to allow commission free trades of no load, no transaction fee mutual funds in Fidelity FundsNetwork, Fidelity’s fund supermarket. The new rule allows investors to trade no load, NTF mutual funds commission-free after holding them for 60 days.

Fidelity has leapfrogged the competition in providing less onerous holding period requirements for offering commission-free mutual fund trades. TD Ameritrade (AMTD) requires 180 days while Schwab (SCHW), E*Trade (ETFC), and Scottrade impose a 90-day holding period requirement to waive commissions on no load NTF mutual funds.

Given the competitive nature of the brokerage industry, it could just be a matter of time before competitors catch up to Fidelity’s less stringent terms for trading no load no fee mutual funds.

Benefits of NTF Mutual Funds Rule Change

Fidelity’s rule change significantly improves the attractiveness of style rotation-based portfolios like AlphaProfit’s No Load Growth model portfolio that helps investors invest in the right mutual funds at the right time.

First, the reduction in required minimum holding period opens up more opportunities to lock gains and latch on to the next winner.

Second, the lower minimum holding period requirement considerably reduces the possibility of model portfolio users incurring brokerage commissions in their accounts during start up.

AlphaProfit No Load NTF Mutual Funds Portfolio

Fund networks like Fidelity FundsNetwork provide access to several thousands of no load no fee mutual funds, both domestic and foreign.

Cutting through the maze of options, AlphaProfit identifies the best no load, no fee mutual funds in domestic, foreign, and specialty categories for each market environment.

AlphaProfit’s ValuM fund system delves deep into each no load, no transaction fee fund … analyzing factors like quality of fund management, prospects for fund holdings, and risk of investment strategy to select winners consistently.

Performance of AlphaProfit no load NTF mutual funds model portfolio as of March 18, 2015.

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Launched in late 2008, the AlphaProfit NTF mutual funds model portfolio is up 142% since the start of 2009, compared to the 103% gain for its domestic and foreign markets combination benchmark. The no load no fee fund model portfolio returned 36% and 19% in 2009 and 2010, respectively.

The NTF mutual funds included in this model portfolio are typically available without transaction fee in Fidelity FundsNetwork, Schwab OneSource, and other leading fund networks.

Baron Opportunity (BIOPX), Delafield (DEFIX), Janus Overseas (JAOSX), Matthews India (MINDX), and Wasatch International Growth (WAIGX) are examples of no fee funds previously included in the AlphaProfit no transaction fee mutual funds model portfolio.

The AlphaProfit NTF mutual funds model portfolio is a worthy choice for investors pursuing profit opportunities worldwide with assets of $40,000 or more in regular or tax-qualified accounts like IRAs or Rollover IRAs.

Low risk mutual funds do not have to be low return mutual funds. This article features four low risk mutual funds capable of delivering decent returns in a slow growth economy.

Stock prices declined for six straight weeks from May through June as measures of U. S. manufacturing and services activities painted a picture of slowing economic growth.

Fears of global economic growth being impacted by the European sovereign debt crisis and by rising interest rates in emerging Asia also dented stock prices.

As investor fears rose and the put-call ratio spiked, stock prices made a U-turn and staged their strongest rally since September.

The S&P 500 ($SPX) rallied nearly 6% in a matter of five days on better-than-expected U. S. manufacturing and housing data.

So, what does one make of this economy? Is it time to get out of stocks?

The economy is transitioning from recovery to one of slow but sustained growth.

As for stocks … defense is the best offense.

Stock valuation metrics are compelling. The forward P/E on the S&P 500 is in the lowest deciles of values we have seen since 1985.

Stocks in defensive groups offer a good way to earn some decent returns in this slow growth environment.

With this in mind, I have picked four low risk investment options for this slow growth milieu. All of them are low risk mutual funds that are available transaction cost-free in Fidelity FundsNetwork.

Three of them invest in specific sectors; the fourth one is a play on fat dividends.

Low Risk Mutual Fund Option #1: Fidelity Select Consumer Staples – FDFAX

Demand for products like food, beverages, and personal care products tends to be immune to the vagaries of the economy. Oftentimes, investors gravitate towards stocks of consumer staples companies during periods of slow economic growth as their ability to steadily grow earnings becomes a virtue.

While many investments in the consumer staples sector can be dull and boring, Fidelity Select Consumer Staples (FDFAX) spices things up by investing in companies with sizeable exposure to emerging markets. Examples include Coca-Cola (KO) and British American Tobacco (BTI) that are among the fund’s top three holdings.

Low Risk Mutual Fund Option #2: Fidelity Select Health Care – FSPHX

Demand for health care products and services tends to be relatively stable and resilient to economic cyclicality. Valuation metrics of health care stocks tend to expand during the later stages of the business cycle when economic growth is no longer strong and uniform.

Against this positive backdrop, the profitability of the health care industry is being affected by the U. S. government’s efforts to rein burgeoning health care costs. As such, certain segments of the health care industry are positioned to perform better than others.

Fidelity Select Healthcare (FSPHX) is a no load mutual fund that has latched on to some themes and firms that are likely to be winners.

Fidelity Select Healthcare’s top holdings include Medco Health Solutions (MHS) that offers pharmacy-benefits management services to help reduce health care costs, Illumina (ILMN) that develops genetic analysis technology to spur personalized medicine, and Edwards Lifesciences (EW) that develops innovative medical devices for cardiovascular diseases.

Low Risk Mutual Fund Option #3: American Century Utilities – BULIX

Demand for electricity, gas, and water tends to be stable. Utility companies enjoy large, predictable cash flows and pass most of their profits to shareholders as dividends.

Dividend payments provide investors with income while oftentimes making the stocks less volatile.

American Century Utilities (BULIX) is among the lower risk utility mutual funds. The fund reduces risk by mixing telecom, electric, and energy utility companies.

American Century Utilities’ top holdings include telecom service provider AT&T (T), electric utility Public Services Enterprises (PEG), and energy pipeline operator ONEOK (OKE).

Low Risk Mutual Fund Option #4: American Century Equity Income – TWEIX

One can easily extend the appealing idea of using dividends to earn an income and reduce stock price volatility beyond utility stocks.

Equity income funds invest in stocks of dividend-paying companies across sectors. American Century Equity Income (TWEIX) is an example of an equity income fund.

Several dividend aristocrats that have raised dividends consecutively for at least 25 years feature among American Century Equity Income’s top 10 holdings. They include ExxonMobil (XOM), 3M (MMM), Johnson & Johnson (JNJ), Procter & Gamble (PG), and Consolidated Edison (ED).

American Century Equity Income’s 2.8% dividend yield handily beats the S&P 500’s 1.7% yield. It also competes quite favorably with the 10-year Treasury bond’s 3.1% yield when one factors the possibility of the fund’s dividend income increasing over time.

In sum, Fidelity Select Consumer Staples, Fidelity Select Health Care, American Century Utilities, and American Century Equity Income are four low risk mutual funds capable of delivering meaty returns in a slow growth economy.