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Post by anovice on Feb 8, 2024 16:50:41 GMT
I am looking for suggestions for two Fidelity International funds for retirement accounts. One should be large cap, not too growthy (growth with some core and a bit of value if possible) and while it can contain emerging markets, the dominant region should be Europe Developed. The second fund should have the same general criteria but small/midcap.
Fidelity International Capital Appreciation (FIVFX) seems like one possibility but a little too heavy on the growth side. Fidelity International Discovery (FIGRX) seems to fit the bill, but Morningstar only gives it 3 stars. Fidelity Diversified International (FDIVX) also seems to meet the criteria. Fidelity has a number of large cap international funds, and many appear to be quite similar, and it is difficult for me to differentiate.
Regarding the small/midcap fund, Fidelity International Small Cap (FISMX) and Fidelity International Small Cap Opp (FSCOX) appear appropriate, even though the latter is more growthy than I wanted.
Thank you.
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Post by chang on Feb 8, 2024 17:41:26 GMT
First comment - taxes withheld on foreign dividends will be lost if held in tax-deferred. So I prefer to hold foreign divvy payers in taxable to claim the tax credit. This means that in the Foreign LCV space (divvy payers) I prefer ETFs in taxable - SCHY, DFIV, FIVA, AVIV, VIGI, VYMI are examples. (FIVA is a Fidelity ETF.)
Since you mention retirement accounts, you can ignore the first comment. However, you also mention "not too growthy". I guess that means blend. So again, you will lose the tax credit. I prefer to barbell: I own DFIV in taxable, and VWILX/FSEAX in tax-deferred.
I do own "valuey" funds FISMX and FEDDX in tax deferred - but these are not big divvy payers. They are very active, and frankly I like them and want to own them, so I am willing to bite the small tax bullet to avoid big CG bullets in taxable.
Remember, Morningstar "stars" are for risk-adjusted performance. There are 3-star funds that actually lead their categories; but they lose stars because of volatility. If your time frame is long, then there may be 3* and 4* funds that are actually better LT performers than 5* funds. (Edit: does not apply to FIGRX - this fund looks like a ho-hum, index-hugger.)
Edit 2: FIVFX looks like a good fund. Only thing I don't like is that the manager has almost none of his own money in the fund. Great LT record, though. Better than my VWILX!
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Post by Karen on Feb 8, 2024 19:17:39 GMT
"International" takes in a lot of sub-categories, Foreign, Global, country-specific, DEM, and plenty more. You might want to be a little more specific to get suggestions that best fit what you are in search of.
That said, of the Fido funds you listed, (LC) FIVFX and (S/M) FISMX would be our choices. Fido's FISMX is the only Fido International fund we have owned and would possibly own again.
If buying the International LC fund through Fido, we would suggest another family's fund. We might be able to offer a suggestion after you clarify "International." For example, if Global, perhaps PRGSX. If FLG, perhaps GSIHX.
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Post by chang on Feb 8, 2024 21:32:18 GMT
I would check FOSFX as well as FIVFX. FOSFX has a better 3Y record, but FIVFX has better 1Y and 5Y records, which tells me .... nothing. FOSFX manager (12y tenure) has more than $1M of his own money in the fund.  FIVFX (16y tenure ) has < $10K invested in his fund.  |
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Post by Karen on Feb 8, 2024 23:13:19 GMT
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Post by anovice on Feb 9, 2024 12:59:40 GMT
"International" takes in a lot of sub-categories, Foreign, Global, country-specific, DEM, and plenty more. You might want to be a little more specific to get suggestions that best fit what you are in search of. That said, of the Fido funds you listed, (LC) FIVFX and (S/M) FISMX would be our choices. Fido's FISMX is the only Fido International fund we have owned and would possibly own again. If buying the International LC fund through Fido, we would suggest another family's fund. We might be able to offer a suggestion after you clarify "International." For example, if Global, perhaps PRGSX. If FLG, perhaps GSIHX. Not global, ex-US, not country specific. International that can contain some emerging markets and Latin America, but the dominant region should be Europe Developed. The second fund should have the same general criteria but small/midcap. |
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Post by anovice on Feb 9, 2024 13:12:20 GMT
I would check FOSFX as well as FIVFX. FOSFX has a better 3Y record, but FIVFX has better 1Y and 5Y records, which tells me .... nothing. FOSFX manager (12y tenure) has more than $1M of his own money in the fund. FIVFX (16y tenure ) has < $10K invested in his fund. I am at a loss as to why a portfolio manager would have very little or no money in his/her own fund. |
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Post by chang on Feb 9, 2024 13:21:00 GMT
anovice It may happen when the manager is running a number of different funds using the same or a similar strategy. (A good example is when a company runs a collection of basically identical CEFs, e.g., PMX-PML-PMF). Or when a young manager or co-manager is on a number of different funds. To be fair, not every one of these guys is a multi-gazillionaire. There can be other reasons and circumstances, too. On the whole, though, I like to see a manager have > $1m of his own money in the fund. (Remember though that $1m to some of these guys is like the cost of a snickers bar to you or me.)
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Post by Karen on Feb 9, 2024 13:23:46 GMT
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Post by howaya on Feb 9, 2024 14:12:00 GMT
I am at a loss as to why a portfolio manager would have very little or no money in his/her own fund. To add to Chang's suggestion, some fund companies rotate managers from one assignment to another a bit too often. After completing one assignment, that manager may have little confidence in the person replacing him/her. Such a scenario would compel him/her to withdraw any assets held in the original assignment and force an (undesired?) taxable event. |
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Post by chang on Feb 16, 2024 8:26:40 GMT
I am considering opening a spot for FOSFX. Anyone else own(ed) the fund? I find a lot to like here in the FLG area.
I own some VWILX at VG but am disappointed in it. I'd like to consider selling it and replacing the approx $$ amount with FOSFX at Fido. That would mean selling something else in the Fido IRA (everything here is tax deferred) so I would somehow have to use the proceeds from VWILX at Vanguard to "replace" whatever I sold at Fido.
Hmm...
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Post by Karen on Feb 22, 2024 12:48:09 GMT
We see on the BSW thread that you selected FOSFX. Did you happen look at GSIHX that we had noted previously on this thread?
If you did, would you please explain why you chose FOSFX over GSIHX? FWIW, in the FLG category, to us, there is GSIHX and everybody else.
Thanks in advance.
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Post by chang on Feb 22, 2024 13:24:07 GMT
Karen Yes indeed I did. It looks like a good fund - chart, risk metrics, etc. all look excellent. Expense ratio is high, but I won't argue that they haven't earned it. I prefer Fido funds in my IRA for exchanging/rebalancing purposes (although I don't do that often) and found that FOSFX/FIGFX appear to be very strong in their categories - good enough for me to be fully comfortable going with one.
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Post by bigseal on Feb 23, 2024 16:47:44 GMT
IBeen investing since the mid 1960s and never invested in an international fund. Have plenty of international exposer through large U.S. multinational businesses and Berkshire’s Japanese holding company stocks. If we were to do so, we would buy a few international stocks. At various times, we’ve owned a few international stocks but don’t currently have any.
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