2021's 8 Best-Performing Fidelity Funds for Retirement

To finish out the weekend, I offer still another list of great tips from U.S. News Invested, this time all the best Fidelity Funds for retirement.  Clicking on the link "Click Here To Read More" will generate a lot more detail.  Hope everyone had a great weekend. Hopefully we have just one more week of the arctic deepfreeze to get through.  

JANUARY 20, 2022 Invested Advice, rankings and stock market news for investors.

Good morning, investors. Highlights of today's newsletter include: 2021's 8 Best-Performing Fidelity Funds for Retirement How to Invest in Lithium Stocks What Is a Financial Coach and How to Become One 7 Best Schwab Mutual Funds for Retirement TODAY'S FEATURED STORY 2021's 8 Best-Performing Fidelity Funds for Retirement Investing for retirement means playing the long game, whether you use an IRA, a Roth IRA or a 401(k) plan. But it can be helpful to understand why your portfolio moves the way it does over the shorter term, especially as you get closer to retirement. A look at the best-performing Fidelity mutual funds over the past year shows a microcosm of what's been happening with the wider market and may provide a few snapshots of what's in store this year as 2021's main themes of economic reopening, supply chain disruptions and rising interest rates continue. Here's a look at the eight best Fidelity funds based solely on their performance over the last year through Dec. 31: 1. Fidelity Select Semiconductors Portfolio (ticker: FSELX). A global semiconductor shortage emerged as demand for chips increased amid the economic rebound but supply didn't keep up. That's been a headache for users of computer chips, such as the automobile industry and consumer electronics companies. But the rising prices that have accompanied the shortage have been great for semiconductor producers. The fund has been around since 1985, so it's seen plenty of the ups and downs in the evolution of the microchip, a key contributor to modern life. It could be worth holding on to for a while, but don't expect the fund to have as good of a year in 2022, as the supply-and-demand snarl will probably get at least somewhat worked out. 1-year return: 59.19% Expense ratio: 0.70% 2. Fidelity Select Construction and Housing Portfolio (FSHOX). People wanted to buy houses to take advantage of low mortgage rates in 2021. At the same time, people wanted to buy new homes to get more space for social distancing during the pandemic, which made urban shopping and dining less attractive. Meanwhile, the economic uncertainty of the recession made some people nervous about selling their home, and home showings dipped, helping keep supply tight while demand rose. "Housing inventories dried up while home buyers that were now working remotely shopped for houses with more space," Daugs says. With that kind of demand, it wasn't just homebuilders that benefited. So did two of the fund's top holdings, Home Depot Inc. (HD) and Lowe's Companies Inc. (LOW), which provide building materials. 1-year return: 57.55% Expense ratio: 0.78% Click here to read more. 8 of the best-performing Fidelity funds for retirement: Fidelity Select Semiconductors Portfolio (ticker: FSELX) Fidelity Select Construction and Housing Portfolio (FSHOX) Fidelity Select Energy Portfolio (FSENX) Fidelity Real Estate Investment Portfolio (FRESX) Fidelity Real Estate Index Fund (FSRNX) Fidelity Select Brokerage and Investment Management Portfolio (FSLBX) Fidelity Natural Resources Fund (FNARX) Fidelity Select Banking Portfolio (FSRBX)