CNBC - October 26, 2017

My Rational Response to Our Irrational World

December 2017

Looking astern, it’s hard to remember that at the outset of this year my rationally optimistic view of gaining more ground stood in stark contrast to a nearly overwhelming consensus of pessimism. At some point, though, fundamentals will reflect a new road of economic contraction. But we’re not at that crossroad. Not yet. Still, we’ve been investors long enough to know that the pendulum swings both ways. As we wend our way to 2017’s end, I’m already looking ahead and thinking about how to best defend this year’s gains and, if fundamentals support it, build upon them.... Read more

Echo Chamber: Headline Fictions vs. Fundamental Facts

December 7, 2017

I wonder how many times I have written a headline like that this year! The simple answer is … way too many times. But the times we live in make facts harder to discern and therefore much more valuable. Along that line, let me start with the facts I know.... Read more

FSI is Not S&P

November 16, 2017

As we head toward year-end, the markets are hawing after stitching together a long record-setting hem. But I see nothing in the fundamentals that suggests a dramatic unraveling is in store—except that, from such a lofty vantage, I expect to find a pullback around each week’s corner. That's not a worry for us, however. FSI’s trading system is not designed to mirror the market’s performance any more than it’s designed to behave like it. Instead, underlying each FSI portfolio is a proprietary trading system that I designed to complement a core, diversified, stay-the-course portfolio.... Read more

Fidelity Investor’s models have 11/30/17 year-to-date returns of between 7.4% and 23.3%. The average Fidelity investor’s portfolio gained 1.1% in November.
ModelYTD5-Year
(Annualized)
Global Quant23.3%15.2%
Aggressive Growth19.8%13.0%
Growth18.3%12.6%
Growth & Income15.0%11.5%
Income7.4%8.2%
Annuity Growth19.7%10.2%
Annuity Growth & Income16.9%9.4%

You don't want to own too many funds that are similar, but how do you tell?

A high correlation between funds may mean that your portfolio of funds is not as diverse as you might want it to be. While other tools may compare funds only to the S&P 500, you can use this tool to determine how closely the performance of one Fidelity fund tracks that of any other Fidelity fund. Compare all the funds that you own. To diversify, look for funds that have low correlation with one another.

Awarded ‘2016 Newsletter Honor Roll’ by the independent Hulbert Financial Digest

Jim Lowell is Editor-in-Chief of the award-winning independent newsletters Fidelity Investor and Fidelity Sector Investor. Through his newsletters, Jim advises individual investors seeking superior performance from their Fidelity investments. He has also written several books on investing, Investing from Scratch (revised edition, Penguin, 2006) and What Every Fidelity Investor Needs to Know (Wiley, 2007) among them. Read more

Say goodbye to Index funds and Hello to Actively Managed funds

Jim Lowell adheres to the Cardinal Rule of Mutual Fund Investing: Buy the manager! He makes sure his subscribers, also known as “Fidelity’s Fortunate Few,” are protected and invested in Fidelity’s best funds.

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Tap into the Wealth-Building Power of Sector Trading

These long-term sector investments are selected based on Jim’s proprietary Fidelity Sector Investor fund-scoring system and set to deliver big profits.

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