With the release this week of Fidelity's annual report, Jim spent a lot of time on the phone answering questions from a variety of reporters. We thought we'd pass along a few of the links of articles where the report and its contents are discussed.
The Wall Street Journal quotes Jim and seems to focus on laying blow up blame on institutions and bloated government.
For a more numbers-oriented take, this Associated Presspiece reports that despite the 18% drop in profit, Fidelity had only a 4% drop in revenue in 2008. Jim remarks that Fidelity "treaded water pretty well."
According to DowJones Newswire, Fidelity's Select funds lost a lot of money last year, but "in general, the portfolio's losses last year may actually make it more appealing for investors seeking ways to bet on a recovery. The company says 85% of its funds tied to specific industries have pulled in more money than they lost so far this year, illustrating investor interest despite last year's dismal conditions."
Just last week a subscriber wrote in and asked what was up with Danoff and Citigroup. Jim's answer: "Danoff, Lange, others, thought they were in the bargain basement when they were holding (not folding) and in many cases adding to positions in Citi and other "leadership" financials last quarter. That value trap not only caught them; it added insult (down 40% this quarter) to the 40% injury of last quarter. Sometimes, even the best and the brightest get it wrong — but that's why I prefer diversified portfolios to single stocks. Year-to-date Danoff (and most other Fidelity growth fund managers) are losing significantly less than their benchmarks … despite having such albatrosses around their portfolios' necks." You can follow this link to bizjournals.comfor the dollar value.