Fidelity Contrafund (FCNTX) has been a solid performer for a long time. The manager, Will Danoff, has managed Contrafund for more than 30 years and has been successful because he has adaped his approach as his fund aged and grown. He focuses on “best-of-breed” firms with superior earnings growth, power management teams and sustainable competitive advantages that seem beaten down or overlooked. Over the past 12 months, this fund has a 31.5% return which beat the S&P 500 return of 17.9%. Tech and communication services stocks helped the fund’s rise, such as Adobe (ADBE), Shopify (SHOP), Paypal (PYPL) and Salesforce (CRM), Amazon (AMZN) which are the top holdings of this fund.

Fidelity Contrafund info:

  • Expense ratio: 0.85%
  • One-year return: 31.5%
  • Three-year annualized return: 18,5%
  • Five-year annualized return: 17.8%
  • Ten-year annualized return: 15.3%
  • Best for moderate investors looking for a tamer growth fund

Top 10 Holdings (45.12% of Total Assets): IncAMZN8.92%
Facebook Inc AFB8.22%
Microsoft CorpMSFT5.44%
Berkshire Hathaway Inc Class ABRK.A4.98%
Apple IncAAPL3.48% IncCRM3.46%
UnitedHealth Group IncUNH2.98%
Netflix IncNFLX2.75%
Adobe IncADBE2.51%
Alphabet Inc AGOOGL2.38%

Sector Weightings (%):

  • Basic Materials 2.15%
  • Consumer Cyclical 14.21%
  • Financial Services 14.07%
  • Real Estate 0.24%
  • Consumer Defensive 2.85%
  • Healthcare 13.44%
  • Utilities 0.26%
  • Communication Services 20.02%
  • Energy 0.32%
  • Industrials 3.01%
  • Technology 29.44%

Overall Portfolio Composition (%):

  • Cash 2.20%
  • Stocks 96.67%
  • Bonds 0.01%
  • Others 1.07%
  • Preferred 0.05%
  • Convertable 0.00%

This fund invests in domestic and foreign issuers. It invests in either “growth” stocks or “value” stocks or both. The fund uses fundamental analysis of factors such as each issuer’s financial condition and industry position, as well as market and economic conditions to select investments.

In conclusion, Fidelity Contrafund is best for moderate investors looking for a tamer growth fund.

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