Financial Information
are the top 10 mutual funds from fidelity that they update?
Question : are the top 10 mutual funds from fidelity that they update?
dependable?
some of their top 10 are making 20% . if thats true why isnt every one else making 20%, and most people say they are only making the “average” 7%?
top mutual funds
Best answer:
Answer by swenjj
not sure what you are asking, fidelity is a great company, very dependable, but you cant count on getting 20% all the time, and a 7% mutual fund could be rated much higher than a 20% one because the higher one may take on much more risk to get that return,
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#2 written by Peaches 1 year ago
Ok, lets work through the basics. The average return on the stock market is 11% over tha past 70 years. It is unlikely a fund can outperform that in the long term.
Getting a return of 20% … well it happens. It is like winning the lottery. And thinking you are going to get 20% because it was earned last year is like saying if someone won the lottery last year, they can win it again this year.
As far as the 7% return goes. The stock market ears 11% on average, but most people invest in stocks and bonds. The bond market is 3 times the size of the stock market and has lower, but more consistant returns. So, the 7% reflect the mix of stocks and bonds in a given portfolio.
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#3 written by derobake 1 year ago
It depends on what assets these funds are investing in. Also remember that past performance is about as useful as reading tea leaves for predicting future performance. A much better way to select funds is by their assets and their costs, not what has recently happened to that fund.
Some funds intentionally invest in a mix of stocks and bonds. They tend to have returns that are more subdued when the stock market does well, but don’t lose as much when the stock market does poorly. With a balanced fund, your returns are not as volatile as with a fund that invests only in stocks.
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The same funds that you see making 20% now may have lost money for years around 2000- 2001…and that is why ” everyone is not making 20%” …. some people have as their number one priority: DO NOT LOSE MONEY. So they are invested in much, much ” safer” funds than ” telecom” or “international” or natural resources” or ” energy” …they prefer the safety of big, American companies that sell staples..food, drugs, toilet paper, cereal… and those companies cook along at 6 or 7 percent.
The investors in the top twenty funds are a little more aggressive, go for bigger returns…and move their money around.