Few investment products have as many fanatics as Fidelity Select funds do. Why? The Fidelity Select fund aficionados know that they can beat the market by judiciously selecting such funds.
Here are the facts: The average Fidelity Select fund has outperformed the S&P 500 by 4.7% per year over the past 20 years.
The stats get even better.
Each year’s best Fidelity Select fund has on average outperformed the S&P 500 by a whopping 51.2%.
Clearly, Fidelity Select funds are high potential sector funds that provide great returns IF you get the selections right.
The trick to benefiting from Fidelity Select funds is to capture the rewards they provide while mitigating the risks they carry.
Here is how AlphaProfit helps you do just that … make money by investing in the right Fidelity Select funds at the right time.
Select Best Sectors and Top Fidelity Select Funds
You have the choice of over 40 Fidelity Select and sector funds that span different sectors of the stock market.
Different Fidelity Select funds tend to perform well during different stages of the business and interest rate cycles. Fidelity Select funds in the Consumer Discretionary sector for example can perform well as interest rates fall and the economy starts to recover from a recession while Fidelity Select funds in the Information Technology sector can perform well during expansion phases.
All too often, investors make the mistake of selecting sectors or industries based on one factor … price trend. Such selection methods are prone to high failure rates.
To help you consistently invest in the right sectors and time entries & exits, AlphaProfit analyzes sectors using a combination of fundamental and technical factors within the context of the business cycle.
By using a combination of criteria such as valuation, momentum, and news quality to holistically analyze sectors, AlphaProfit ascertains winning sectors while minimizing negative surprises.
AlphaProfit then blends the above top-down analyses with bottom-up analyses of top holdings in Fidelity Select funds to determine the best Fidelity Select funds in the best sectors.
Diversify across Top Fidelity Select Funds
Despite the rigor of the evaluation and selection process, there can be occasions where investment in Fidelity Select funds may not pan out exactly as expected. The performance of a specific Fidelity Select fund can at times be affected by exogenous events like the earthquake in Japan or unanticipated industry developments like the ban on oil drilling in Gulf of Mexico.
Popular Fidelity Select and Sector Funds
|Sector Name||Fund Name, Ticker|
|Consumer Discretionary||Fidelity Select Automotive, FSAVX|
|Fidelity Select Leisure, FDLSX|
|Consumer Staples||Fidelity Select Consumer Staples, FDFAX|
|Energy||Fidelity Select Energy, FSENX|
|Fidelity Select Natural Resources, FNARX|
|Financials||Fidelity Select Banking, FSRBX|
|Fidelity Real Estate Investment, FRESX|
|Health Care||Fidelity Select Biotechnology, FBIOX|
|Fidelity Select Health Care, FSPHX|
|Industrials||Fidelity Select Defense & Aerospace, FSDAX|
|Fidelity Select Industrials, FCYIX|
|Information Technology||Fidelity Select Electronics, FSELX|
|Fidelity Select Technology, FSPTX|
|Materials||Fidelity Select Chemicals, FSCHX|
|Fidelity Select Gold, FSAGX|
|Utilities||Fidelity Select Utilities, FSUTX|
|Fidelity Telecom & Utilities, FIUIX|
To mitigate your risks, AlphaProfit brings together the best Fidelity Select funds from top sectors to construct Fidelity Select fund-based model portfolios for different investment objectives. AlphaProfit provides weightings for the individual Fidelity Select funds with a view to minimize portfolio volatility.
Ensure Top Fidelity Select Fund Selections at all Times through Timely Sector Rotation
AlphaProfit uses its time-tested sector rotation strategy to ensure Fidelity Select funds with outstanding return potential are included in the model portfolios at all times. By the same token, the sector rotation strategy works to weed out Fidelity Select funds with unappealing return potential in a timely manner.
Beat the Market with Fidelity Select Fund Model Portfolios
AlphaProfit’s proven Fidelity Select fund selection process enables thousands of investors to thrive in turbulent markets.
AlphaProfit provides two market-beating Fidelity Select fund-based model portfolios you can use in your regular and retirement accounts.
The AlphaProfit Focus model portfolio pursues aggressive growth while the AlphaProfit Core model portfolio is tailored for investors seeking long-term capital appreciation.
A dollar invested in the Fidelity Aggressive Growth (Focus) and Fidelity Capital Appreciation (Core) model portfolios is worth $121.89 and $56.35, respectively. This implies annualized returns of 18.7% and 15.5%, respectively.
A comparable investment in the S&P 500 benchmark is worth $17.58, implying an annualized return of 10.8%.
Dow Jones & Company’s Hulbert Financial unit has ranked the AlphaProfit Focus and Core model portfolios #1 rank numerous times.
Here are just a few examples of actual returns earned by AlphaProfit readers from individual Fidelity Select fund selections:
- 272.9% gain from Fidelity Select Technology (FSPTX)
- 103.4% gain from Fidelity Select Health Care (FSPHX)
- 102.1% gain from Fidelity Select Retailing (FSRPX)
Learn 5 Smart Ways of Using Fidelity Select and Sector Funds
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