Fidelity Select Energy Service Fund (FSESX)

Fidelity Select Energy Service Fund (FSESX) is top stock mutual fund by Fidelity. This mutual fund invests mainly in equities of companies operate in energy sector such as oil, gas, etc.

Top Fidelity Mutual Fund

The Fidelity Select Energy Service Fund objective is to achieve capital appreciation. This mutual fund uses its assets to purchase securities of companies mainly engaged in the energy service field, including those that provide services and equipment to the conventional areas of oil, gas, electricity, and coal, and newer sources of energy such as nuclear, geothermal, oil shale, and solar power.

This top Fidelity fund invests in domestic and foreign stocks. It invests mainly in common stocks. It 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. The fund is non-diversified.

Fund Profile

• Fund Inception Date: 12/15/1985
• Ticker Symbol: FSESX
• CUSIP: 316390764
• Beta (3yr): 1.52
• Rank in category (YTD): 25%
• Category: Equity Energy
• Yield: 0.00%
• Capital Gains: 0%
• Expense Ratio: 0.81%
• Net Assets: $ 1.1 billion
• Number of Years Up: 18 years
• Number of Years Down: 9 years
• Annual Turnover Rate: 49%

Updated on October 13, 2013

As one of the top performer fund in the Equity Energy category, it has low annual expense ratio of 0.81%. The average in the category is 1.56%. The total net assets are $1.1 billion. The fund is currently managed by Jonathan Kasen. The fund has 49.00% of annual turnover rate.

Equity Energy Mutual Fund

This Fidelity Select Energy Service fund has 2-stars rating from Morningstar. Since the fund was inception in 1985, it has 18 years of positive return. The best 1-year total return was achieved in 1999 with 72.15%. Based on the load adjusted returns, this equity energy fund has returned 10.65% over the past 10-year and 15.33% over the past 5-year. It is ranked 25th in the category. The fund has YTD return of 17.35%.

The brokerages that provide the sale of this fund are E Trade Financial, EP Fee Small, Merrill Lynch, JP Morgan, Pershing Fund Center, Td Ameritrade Inc, etc. The minimum initial investment is $2,500 for brokerage account. For retirement account, the minimum initial investment is $200. This is a no-load fund. There is no 12b1 fee and no front-end sales load fee.

As of June 2013, this Fidelity fund has a total of 37 holdings. The top 10 stocks are Schlumberger Ltd, Halliburton Co, National Oilwell Varco Inc, Cameron International Corp, FMC Technologies Inc, Ensco PLC, Noble Corp Switzerland, Drip-Quip Inc, Oceaneering International Inc and Weatherford International Ltd. The top 10 represents 74.35% of total portfolio. The top asset allocations are Domestic Equities (75.08%) and International Equities (23.22%).

According to the fund prospectus, the principal investment risks are stock market volatility risk, foreign exposure risk, energy service industry concentration risk, and investment style risk.

Disclosure: No Position