Also, it has a pretty low expense ratio of just 0.8%, which means that for every $1,000 invested, $8 goes to administrative and management fees. The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund… This site is protected by reCAPTCHA and the Google According to Fidelity, the fund was up about 28% in 2020 (through July 31),  beating its benchmark, the Russell 1000 Growth index (18.2%), and the average large-cap growth fund (15.4%) over the same time frame. Fidelity ® Blue Chip Growth Fund - Class F (since 7/1/2009) Fidelity ® Blue Chip Growth Fund (since 7/1/2009) Fidelity ® Blue Chip Growth Commingled Pool (since 5/15/2015) FID BLUE CHIP GROWTH CP (since 5/15/2015) Fidelity ® Blue Chip Growth K6 Fund (since 5/25/2017) While there are thousands of mutual funds to choose from, large-cap growth mutual funds have been among the most steady performers. Which is the better buy?

Unlock our full analysis with Morningstar Premium. He's covered mutual funds and institutional investments for Pensions & Investments, personal finance for S&P, and money markets and bonds for Crane Data. See you at the top! Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time.

These three sectors make up about 79% of the portfolio, with IT accounting for about 37.6% of that total. These are both top tier large-cap growth funds, but the Fidelity Blue Chip Growth is slightly better. The Fidelity Blue Chip Growth Fund has been one of the top-performing mutual funds both now and over the long term. That's lower than the average expense ratio for actively managed large-cap funds, which is about 1.25%. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Copyright, Trademark and Patent Information.

The Process Pillar is our assessment of how sensible, clearly defined, and repeatable FBGRX’s performance objective and investment process is for both security selection and portfolio construction. The fund invests 80% of assets in blue-chip stocks. Get our overall rating based on a fundamental assessment of the pillars below. USD | NAV as of Sep 30, 2020 | 1-Day Return as of Sep 30, 2020, 9:24 PM GMT+00:00.

Adjusted Expense Ratio excludes certain variable investment-related expenses, such as interest from borrowings and dividends on borrowed securities, allowing for more consistent cost comparisons across funds. The top 10 stocks make up 50% of the portfolio, with Amazon, Facebook, Alphabet, Microsoft, Alibaba, Apple, Visa, Tencent, Paypal, and Mastercard as the largest positions. Returns as of 10/01/2020. The People Pillar is our evaluation of the FBGRX management team’s experience and ability. Specifically, the focus here is on blue chip large-cap stocks, which are stocks of large, established companies that are often leaders in their respective industries. In the second quarter, the outperformance of the benchmark was fueled by consumer discretionary, information technology, healthcare, and communication services sectors with Tesla, VectoIQ Acquisition, Sea Limited, Marvell Technology Group, and Pinduoduo among the top performers. Find the latest Fidelity Blue Chip Growth Fund (FBGRX) stock quote, history, news and other vital information to help you with your stock trading and investing. Also, with a broader portfolio and less concentration, the Fidelity Blue Chip Growth Fund should be better prepared to navigate the market's ups and downs and maximize returns. Stock Advisor launched in February of 2002. According to Fidelity, the fund … Larry Puglia has led the fund's portfolio management team since 1993. The turnover ratio is fairly low at 30%, compared to 34% for the Fidelity fund, which is not surprising given the concentration of holdings. In addition to stocks, a strong investment portfolio should include a selection of mutual funds, which provide great diversification, particularly in these volatile times. Puglia and his team look for companies that are market leaders with stable earnings, growth in free cash flow, good management of excess capital, and a consistently high return on capital. Blue-chip companies are well-known or established companies. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers. If it isn't grown, it has to be mined. Dave mainly covers financial stocks, primarily banks and asset managers, and investment planning. In contrast, the benchmark has about 49% in these three sectors. Market data powered by FactSet and Web Financial Group. © 2020 Verizon Media. Fidelity reported that over 10 years the fund has an average annual return of 18.8% (through July 31), better than the Russell 1000 Growth, up 17.3%, and the average large-cap growth fund, up 15.5%. It also has a low expense ratio of 0.69%, which is even below that of the Fidelity Blue Chip Growth Fund. This fund is heavily overweight in IT, consumer discretionary, and communication services. But when markets are more volatile, many investors turn to actively managed funds, as the portfolio managers can pick the stocks to best navigate the market's ups and downs. Further, the Fidelity fund has a higher Sharpe Ratio at 1.11 vs. 0.93. The Fidelity fund scores better returns across the year-to-date, 1-, 3-, 5-, and 10-year periods, with a comparable expense ratio. Like the Fidelity fund, it is one of the best performers in this asset class. Discover new investment ideas by accessing unbiased, in-depth investment research, Nasdaq - Nasdaq Delayed Price. Is the T. Rowe Price Blue Chip Growth Fund a Smart Choice for Your IRA? Dave has been a Fool since 2014. First, it has far fewer holdings with just 121 stocks, compared to 456 stocks for the Fidelity fund. Terms of Use Privacy Policy Disclosures Member User Agreement Corrections Cookies, | 1-Day Return as of Sep 30, 2020, 9:24 PM GMT+00:00, Muni National Intermediate-Term Bond Funds. © Copyright 2020 Morningstar, Inc. All rights reserved. All rights reserved. The T. Rowe Price Blue Chip Growth Fund is a bigger fund than its Fidelity counterpart, with about $85 billion in assets under management.

Learn How to Read a Morningstar Analyst Report. So, let's take a look at two of the best large-cap growth funds that are open to new investors: the Fidelity Blue Chip Growth Fund (NASDAQMUTFUND:FBGRX) and the T. Rowe Price Blue Chip Growth Fund (NASDAQMUTFUND:TRBCX). The Fidelity Blue Chip Growth Fund has been one of the top-performing mutual funds both now and over the long term. If you're invested in any of the funds in our "Magnificent Retirement Mutual Funds" list, congratulations on owning some of the best managed and top-performing mutual funds.

Fidelity Blue Chip Growth Fund seeks long-term capital growth. Kalra looks for firms with a combination of the following traits: competitive advantage, high barrier to entry, pricing power, and strong management. Terms of Service apply.

The Sharpe Ratio is the measure of a fund's risk-adjusted return, so the higher the ratio, the better the return relative to its risk. The fund, which holds about 426 stocks, is underweight the Russell 1000 Growth Index in information technology, healthcare, financials, and consumer staples; and overweight in consumer discretionary, communication services, industrials, and energy. Currency in USD, Sector Rally Alert: Here's What You Need To Know. Fidelity Blue Chip Growth earns a Morningstar Analyst Rating of Bronze across all share classes because its skilled manager can capably handle its risks. Blue chips tend to be solid long-term performers and are well-suited to navigate more volatile markets. The Parent Pillar is our rating of FBGRX’s parent organization’s priorities and whether they’re in line with investors’ interests. Passively managed index funds and ETFs have dominated in the past decade in terms of assets, and for good reason -- the stock market has been on a historic bull run, so index funds and ETFs gave investors great returns at low costs.

Privacy Policy and It also beats its benchmark over the three, five, and 10-year periods. The fund is underweight in healthcare and financials. This fund is different from the Fidelity fund in a few noteworthy ways. Let's conquer your financial goals together...faster. Cumulative Growth of a $10,000 Investment in Stock Advisor, Better Buy: Fidelity Blue Chip Growth Fund Vs. T. Rowe Price Blue Chip Growth Fund @themotleyfool #stocks $TRBCX $FBGRX.

According to T. Rowe Price, the fund was up 19.6% year-to-date through July 31, beating its benchmark, the S&P 500 index (17.2%), and the average large-cap growth fund (15.5%) over the same time frame. Over the past 10 years through July 31, it has an annualized return of 18.3%, better than the 13.8% annualized return of its benchmark over that same time period. The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating. The fund, with $31 billion in assets, invests about 80% of the portfolio in blue chips with approximately 45% of the portfolio going to its top 10 holdings, which include Amazon, Apple, Microsoft, Alphabet, Facebook, Tesla, Marvell Technology Group, salesforce.com, and Visa. The portfolio manager, Sonu Kalra, has been at the helm since 2009. The Ascent is The Motley Fool's new personal finance brand devoted to helping you live a richer life. Fidelity Blue Chip Growth also posted market-beating returns over the three, five, and 10-year periods.