Here's a large-company growth fund that'll rev up your portfolio: Fidelity Growth Discovery. From the time it gained a new manager and a growth-oriented slant in February 2007 through October 26, the fund posted an eye-popping gain of 29%. During that same period, Standard & Poor's 500-stock index returned 8%.
Growth Discovery's new skipper, Jason Weiner, is no stranger to the fund. He actually ran it in its early years, when it was called Contrafund II (Fidelity launched the fund in April 1998 when it closed the original Contrafund to new investors.)
Weiner also has steered several other diversified, growth-oriented funds, including Fidelity Independence and Fidelity Export & Multinational, as well as a couple of sector funds. He currently manages one other fund: Fidelity Advisor Equity Growth, a load fund with a strategy identical to that of Growth Discovery (symbol FDSVX). That fund, which Weiner took over in November 2006, gained 30% over the past year. It ranks in the top 6% of funds that invest in large, growing companies.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Weiner, who describes his strategy as "extremely flexible," invests in companies of any size, although he leans heavily toward the market's giants. He also can hunt abroad for companies with the best earnings-growth potential. Foreign names, including Japanese game maker Nintendo and Finnish mobile phone supplier Nokia (NOK), recently occupied a quarter of the $753 million fund.
Weiner also favors U.S.-based "global growers," such as Schlumberger (SLB). Although the fund holds more than 130 stocks, Growth Discovery is top-heavy: its largest 40 positions account for 70% of assets.
The fund has been soaring lately thanks to a hefty weighting in technology, which made up 40% of assets recently. In hunting for tech stocks, Weiner says he looks for companies with unique business models.
"Google, for example, has a business model not found anywhere," he says. "This company can do business with large corporations all the way down to corner pizza shops." Google (GOOG), along with storage provider EMC (EMC) and Research in Motion (RIMM), maker of the wildly popular Blackberry devices, have been among the fund's top performers.
Growth Discovery requires a minimum $2,500 investment. Its annual expense ratio of 0.80% is below-average.
-
S&P 500 Tops 6,500 Even as Nvidia Slips: Stock Market TodayThe world's most valuable company closed lower after earnings, but the S&P 500 managed to notch a new record high.
-
Is Trump's Tax Plan Speeding Up the Looming Social Security Funding Crisis?Social Security Social Security's combined retirement funds are running out of cash, and its insolvency date is expected to occur in less than a decade.
-
The 5 Best Actively Managed Fidelity Funds to Buy and Holdmutual funds Sometimes it's best to leave the driving to the pros – and these actively managed Fidelity funds do just that, at low costs to boot.
-
The 12 Best Bear Market ETFs to Buy NowETFs Investors who are fearful about the more uncertainty in the new year can find plenty of protection among these bear market ETFs.
-
Don't Give Up on the Eurozonemutual funds As Europe’s economy (and stock markets) wobble, Janus Henderson European Focus Fund (HFETX) keeps its footing with a focus on large Europe-based multinationals.
-
Vanguard Global ESG Select Stock Profits from ESG Leadersmutual funds Vanguard Global ESG Select Stock (VEIGX) favors firms with high standards for their businesses.
-
Kip ETF 20: What's In, What's Out and WhyKip ETF 20 The broad market has taken a major hit so far in 2022, sparking some tactical changes to Kiplinger's lineup of the best low-cost ETFs.
-
ETFs Are Now Mainstream. Here's Why They're So Appealing.Investing for Income ETFs offer investors broad diversification to their portfolios and at low costs to boot.
-
Do You Have Gun Stocks in Your Funds?ESG Investors looking to make changes amid gun violence can easily divest from gun stocks ... though it's trickier if they own them through funds.
-
How to Choose a Mutual Fundmutual funds Investors wanting to build a portfolio will have no shortage of mutual funds at their disposal. And that's one of the biggest problems in choosing just one or two.
