Fidelity Monthly Income Series B - Stable Growth
By David Moffatt on
I have dabbled in investments now for about two years, I have dealt with stocks, bonds, and mutual funds. In the end I dropped my stocks and my bonds. Stocks were too fluctuating and I had to put too much time in to manage them, and bonds were not giving me the gains that I was expecting from an investment. I then started looking for something else, and I stumbled upon mutual funds.
In layman's terms a mutual fund is a collection of different stocks and bonds under one title that is managed by a person, or perhaps a group of people. This makes them generally more stable than any one given stock because they have a diverse portfolio. All you have to do is give them your money, there is no other work needed.
The Fidelity Monthly Income Series B mutual fund is one of the best I have seen. It was established in November of 2003 and last year had a fund increase of 14%. You may find this high, and you are right in thinking so. If you look back to 2008 when the automotive industry took a hit, so did everything else, so last year was basically a recovery year for this mutual fund as well as others. The average increase a year is 6.9%. This fund is in the Moderate Risk class.
The stock is broken down into 5 main areas of investment:
36.7% -Fixed Income
37.7% - Canadian Equity
8.3% - Cash
5.8% - International Equity
8.8% - US Equity
This fund pays dividends every month versus quarterly like most other funds or stocks. I have my dividends set to be automatically re-invested.
The fund is also extremely well diversified, since the top 15 holdings represent only 32.2% of the total holdings.
If this mutual fund is what you're looking for then I highly suggest you go see your nearest broker/bank and ask them for some information on this fund. Or Click Here to go to Fidelity's website.
